Hong Kong economic, security pressures sour Japanese business sentiment

Survey shows deepening concern over personnel exodus and information restrictions

A pedestrian crossing in Hong Kong in June. Japanese business sentiment in the city has been in negative territory for more than two years. (Photo by Ken Kobayashi)

KENJI KAWASE, Nikkei Asia chief business news correspondent

September 4, 2024 17:19 JST

HONG KONG -- Japanese businesses operating in Hong Kong are feeling greater effects from a decelerating Chinese economy as well as local authorities' emphasis on national security and patriotism, a new survey shows.

The latest biannual survey conducted by three Japanese organizations in Hong Kong -- the Japan External Trade Organization (JETRO), the local Japanese business chamber and the consulate general -- shows the diffusion index of overall sentiment was minus 12.5 for the first half of 2024, worsening from minus 9.7 in the second half of last year.