Logistics in Hong Kong

Logistics is one of the main pillars of the economy of Hong Kong. This is applicable both in terms of raw numbers as well as employment. A lot of people of Hong Kong make their living through working in the logistics sectors, and the overall earning from this sector through consignments is what drives the country.

Contribution in GDP and Employment

Back in 2018, it was seen that trading and logistics make up 21% of the GDP of the city, and about 718,600 people make their living working in this sector. The logistics industry alone contributes 3.1% of the GDP of Hong Kong, and back in 2018, this industry alone increased the number of jobs by 176,900.  The rest of the 29.2% of the GDP is contributed by the Transport industry. 

HKIA Contributions:

Moreover, the International Airport of Hong Kong was ranked to be one of the busiest airports in the world, and they have retained this rank every year since 2006. The total cargo received and sent from this airport stood as 4.8 million tons, which is one of the highest in the history of the world. 


The port of Hong Kong isn’t lagging behind either. The Hong Kong port was ranked as the eighth busiest port in the world back in 2019. The ports that are ranked higher than this are only from China. 

Rankings and Scores:

Every year, DHL publishes an index where they rank different countries according to their global connectedness. Back in 2019, Hong Kong stood second, right after Singapore. Then again, according to a Performance Index published by World Bank, Hong Kong scored 3.92 to rank 12th in the entire world based on their Logistics performance.

As you can see, Hong Kong has one of the best logistics systems in the entire world. There are many reasons behind this, and we’ll go through all of those shortly. In short, Hong Kong has the perfect geographical location for e-commerce, trading, transportation, and consignments.

Advantages that Hong Kong Possesses

One of the biggest advantages of Hong Kong is its geographical location. Hong Kong is within 5 hours of flight distance to most of the population of the world. The Hong Kong International Airport is linked to over 220 destinations across the world, and around 120 airlines operate more than 1,100 flights every day. Among the 220 destinations, 50 of them are in Mainland China. Due to this, Hong Kong has a great connection to most countries, especially Asian countries. 

The Hong Kong International Airport has five top-tier cargo handling facilities, which is extremely convenient for handling the huge load of cargo that it receives every year. Last year, the amount of cargo received by HKIA stood at seven million tons. 

To tackle the increasing number of cargo and passengers, the Hong Kong government started working on a new project which is being called the 3RS or Third Runaway System. This project is expected to be completed by 2024, and it will allow HKIA to handle excessively high traffic demands such as 102 million passengers, 607,000 flights, and 8.9 tons of cargo. Hong Kong is expecting such a huge load within 2030.

There are a total of nine container terminals for sea transportation in the Hong Kong port. 24 container berths can hold about 20 million TEUs in a year. 

As you can see, Hong Kong not only has a great geographical location, but it’s also improving its logistics system so that it can handle what’s to come. No matter how much their logistics and trading sector scales up, they will always be prepared to handle what’s coming, and they will keep on improving themselves for future demands.

Market Outlook

Chinese Tourists and Outbound Travel:

After eight years of robust growth, the Asia and Pacific region has become one of the most visited regions in the world, and it stands right after Europe. While the number of arriving tourists in the world stands at 5% today, it’s 7% in this region alone.

Hong Kong is one of the centers of attraction, and a lot of tourists visit this city. Due to this growing sector, the logistics sector is getting fueled as well. The higher it swells, so will the demand for logistics. 


Like most other regions of the world, the consumers of Hong Kong are getting inclined towards e-commerceand consignments as well. E-commerce is a sector that’s standing 100% in the logistics department. As the logistics sector of Hong Kong is already well developed, e-commerce has the floor that it needs. 

Experts expect that these two industries will grow simultaneously, as one is dependent on the other. As the logistics sector is driven by other sectors as well, it can provide the e-commerce sector exactly what it needs. 

Technology Trends:

Technology plays a huge role in the logistics industry, as it provides the sector with various management systems. These management systems make the entire process even simpler, thus the entire industry experiences much rapid growth.

With the Internet of Things and the emerging 5G network, the logistics sector of Hong Kong is set to grow higher than ever. With the inclusion of AI in inventory management, consignments management, warehouse management, this sector is going to get better software for smoother operation. 

Greater Bay Area Development:

One of the greatest sectors that fuel the logistics industry is infrastructure development. The development of the Greater Bay Area of Hong Kong is providing exactly that. Due to this development project, The airport and seaport of Hong Kong, along with four adjacent airports have experienced a spike in air cargo logistics. 

The project itself includes some logistics development that’ll improve the road connections between different places. This in turn will improve the logistics sector by making a lot of operations easier.


Hong Kong has one of the richest logistics industries in the world, and it’s ever-improving. This is why this place is great for investing in e-commerce, consignments, and other businesses, as all of them have the potential to grow bigger.

Author: I’m Jaylin: Guest post service planner of Leelija and full time blogger. Favorite things include my camera, traveling, caring my fitness, food and my fashion. Email id: [email protected]