Duty-free limit increase to HK$16,100 ‘not enough’ for mainland Chinese tourists in Hong Kong
- ‘I usually don’t go shopping when I visit Hong Kong now because prices on the mainland are lower,’ says tourist wanting limit of HK$30,000
Some mainland Chinese tourists in Hong Kong have expressed dissatisfaction over the coming duty-free shopping allowance increase to HK$16,100 (US$2,100) per trip, saying it is not enough, with several preferring to shop online or head to Hainan instead.
Peng Yaxi, a visitor from Shenzhen who arrived in Hong Kong via the high-speed rail at West Kowloon station, said on Friday the relaxed allowance was enough for her to buy household products, such as shampoo or medicine.
“But if I buy some luxury goods here, it is obviously insufficient,” the 28-year-old said.
Peng, who used to enjoy cross-border shopping more frequently, added she would like the limit to be increased to HK$30,000.
“I usually don’t go shopping when I visit Hong Kong now because prices on the mainland are lower,” she said.
Beijing announced earlier in the day that the allowance would be raised to up to HK$16,100 per trip, beginning July 1 at six border crossings.
Mainland residents aged 18 or over would have their duty-free allowance raised to 12,000 yuan, or HK$12,900, and the limit could be further increased to 15,000 yuan, or HK$16,100, if they shopped at duty-free stores at border crossings.
Currently, visitors from across the border must pay a tax of 13 to 50 per cent to the central government for purchases made outside the mainland above a threshold of 5,000 yuan per trip, a measure introduced in 1996.
By contrast, the southern island province of Hainan has a tax-free purchase limit of 100,000 yuan per year.
The Hong Kong government estimated the measure would increase tourist spending in the city by at least HK$8.8 billion, or even up to HK$17.6 billion, a year. The increased consumption is expected to add between HK$2.7 billion and HK$5.4 billion to the economy.
Kenny Shui Chi-wai, vice-president of think tank Our Hong Kong Foundation, said the measure would encourage more mainland visitors to shop in the city, as well as boost the local retail and tourism sector.
“The government can work with shopping malls to promote the new limit to visitors from the mainland and secure Hong Kong’s status as a shopping paradise,” he said.
But mainland tourists such as Peng said that while they welcomed the increase, the new limit was still not enough to make Hong Kong an attractive shopping destination.
Feng Zhihua, a tourist from Sichuan, said HK$12,000 was insufficient to buy luxury goods in Hong Kong, adding she would rather visit Hainan.
“I will definitely go to Hainan if I want luxury goods because I can get an allowance worth 100,000 yuan in one trip, ” the 40-year-old said.
Hong Yuping, a 19-year-old tourist from Xiamen, said she had expected the allowance to be raised to HK$20,000, adding the newly adjusted allowance was “almost enough”.
However, the allowance increase alone would not entice her to shop more in Hong Kong.
“Online shopping platforms on the mainland like Taobao are cheaper and more convenient for me,” said Hong, who was visiting the Causeway Bay shopping area.
Liu Jing, who was shopping in Times Square, said she often bought luxury goods in the city but the current duty-free allowance would “hardly cover” her purchases.
“Even if the limit is increased to HK$16,100, that’s still not enough,” the 36-year-old from Hangzhou said.
Nonetheless, she felt luxury shopping in Hong Kong still held advantages over many mainland cities.
“I don’t actually mind whether the allowance is raised or not,” she added. “The reason I shop in Hong Kong is because there are more choices.”
