Macau is very open to foreign trade, which equalled 164% of its GDP in 2021 (World Bank, 2023). In addition to being a port zone without customs duties due to its free port status, Macau also boasts an advantageous tax system. Total Imports of Goods and Services represented over 33% of GDP in 2020, while Exports of Goods and Services represented over 71% of GDP (WTO and World Bank, 2022).
Macau exports jewellery (13.8% of all export), broadcasting equipment (9.7%), precious metal watches (9.2%), women's suits (3.5%), and base metal watches (2.8%). The most common destination for the exports of Macau are Hong Kong (64.1% of all exports), China (11.6%), United States ($6.8%) and Israel (1.96%).
Macau’s largest import partner is China (33% of all imports). Other export partners include Hong-Kong (24%), France (5%) and Italy (4.5%). Macau imports jewellery, electricity, precious metal watches, liquor, and broadcasting equipments.
Macau has a structurally negative trade balance, a trend that is expected to continue in the coming years. Macau’s trade deficit widened to 10.69 billion USD) in 2021 from 7.6 billion USD a year earlier. Imports jumped 33.6 percent year-on-year to MOP 14.1 billion (1.74 billion USD) in January 2022, mainly boosted by purchases of beauty, cosmetic or skincare products (125.4%); gold jewellery (80.9%); watches (38.8%); and handbags and wallets (26.5%). Meanwhile, imports declined for construction materials (-10.1%). At the same time, exports rose by only 0.3 percent to MOP 1.4 billion (173.7 million USD), driven by an 18.1% rise in domestic exports, while a 2.1%decline in re-exports limited the further gains. Sales increased mainly for textiles and garments (25.5%) whereas declined for non-textiles items (-1.9%), in particular machines, apparatus and parts with a decline of 49.7% (Statistics and Census Service, Government of Macao SAR, 2022).
Macau’s trade deficit reached MOP 11.4 billion (USD 1.41 billion) in February of 2023 from MOP 9.4 billion (USD 1.11 billion) in the corresponding month of the previous year (Statistics and Census Service, Government of Macao SAR, 2023)
In recent years, the relocation of industrial activities to mainland China, where the cost of labour and land is lower, has hindered Macau’s exports. Macau has signed agreements of avoiding double taxation with mainland China, Portugal, Mozambique, and Cape Verde, and tax information exchange agreements with many other countries. Through its political status, Macau's economy is linked to the economy and trade of mainland China. Many trade policies, including free-trade agreements, therefore give it preferred access to the Chinese market. There is little government control over export and import licences. Trade has been on the rise thanks to the process of economic diversification and the partial liberalisation of the tertiary sector. Low taxes and customs clearance on electronic goods have accelerated trading procedures. Despite these advantages, the lack of transparency in many sectors remains a major obstacle to the development of trade.
Foreign Trade Indicators | 2017 | 2018 | 2019 | 2020 | 2021 |
---|---|---|---|---|---|
Imports of Goods (million USD) | 9,451 | 11,162 | 11,167 | 11,586 | 19,219 |
Exports of Goods (million USD) | 1,406 | 1,510 | 1,586 | 1,353 | 1,620 |
Imports of Services (million USD) | 4,417 | 5,302 | 4,903 | 3,036 | 3,884 |
Exports of Services (million USD) | 38,840 | 43,651 | 43,496 | 10,607 | 18,370 |
Imports of Goods and Services (Annual % Change) | 8 | 5 | -4 | -15 | 49 |
Exports of Goods and Services (Annual % Change) | 17 | 10 | -2 | -65 | 71 |
Trade Balance (million USD) | -10,665 | -10,834 | -10,571 | -7,697 | -10,695 |
Foreign Trade (in % of GDP) | 115 | 116 | 114 | 121 | 164 |
Imports of Goods and Services (in % of GDP) | 34 | 33 | 32 | 60 | 76 |
Exports of Goods and Services (in % of GDP) | 80 | 83 | 83 | 62 | 88 |
Source: WTO – World Trade Organisation ; World Bank - Latest available data.
Main Customers (% of Exports) |
2022 |
---|---|
Hong Kong SAR, China | 84.4% |
China | 9.3% |
United States | 3.8% |
Vietnam | 0.7% |
Singapore | 0.5% |
See More Countries | 1.2% |
Main Suppliers (% of Imports) |
2022 |
---|---|
China | 30.6% |
France | 18.6% |
Italy | 10.9% |
Switzerland | 7.1% |
United States | 6.8% |
See More Countries | 26.0% |
Source: Comtrade, Latest Available Data
Source: Comtrade, Latest Available Data
To go further, check out our service Import Export Flows
43.5 bn USD of services exported in 2018 | |
---|---|
92.75% | |
Personal travelPersonal travel | 87.20% |
Business travelBusiness travel | 5.55% |
2.64% | |
2.12% | |
1.59% | |
0.80% | |
0.08% | |
0.02% |
4.9 bn USD of services imported in 2018 | |
---|---|
28.97% | |
Personal travelPersonal travel | 28.52% |
Business travelBusiness travel | 0.45% |
21.99% | |
12.31% | |
9.62% | |
9.48% | |
6.69% | |
4.19% | |
3.51% | |
2.50% | |
0.73% |
Source: United Nations Statistics Division, Latest Available Data
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Latest Update: September 2023