Sales at Hong Kong’s major jewellery retailers plummeted during their third fiscal quarter largely due to a surge in Covid-19 cases, particularly in China.

Chow Tai Fook Jewellery Group Ltd said sales in the three months ended December 31, 2022 were down 19.3 per cent. China, which accounts for 86.6 per cent of Chow Tai Fook’s business, saw a 20.4 per cent decline, while Hong Kong, Macau and other markets recorded a year-on-year drop of 11.1 per cent.

The group attributed the negative turnout to a lacklustre consumption sentiment coupled with travel disruptions and lack of tourists. Sales of gem-set, platinum and k-gold jewellery, alongside those of gold jewellery and products, were in the negative territory.

Luk Fook Holdings (International) Ltd meanwhile said overall sales dipped 10 per cent year on year in the third quarter ending March 31, 2023, as a rebound in gold prices and severe pandemic in China impacted the retail environment. This came at the heels of a solid retail sales performance in October for Lukfook.

Sales in China, including shop and online transactions, decreased by 18 per cent while those in Hong Kong and Macau were down by 6 per cent during the period in review.