Visits to Hong Kong Dropped after New Rule Took Effect
Hong Kong visits slightly dropped during the holidays after the once a week limit for Shenzhen residents took effects several weeks ago. A report from the Shenzhen General Station of Exit-Entry Frontier Inspection said that only 432,000 went through the checkpoints on the first day of the May Day holidays a drop of 20 percent.
Passenger flow was relieved under the new rule at checkpoints, but seem to failed in stopping parallel trading, a practice of buying Hong Kong products and selling them for a profit on the mainland. Several residents thought that the rule will not affect them since they visit Hong Kong once every two or three months to do their shopping. One resident said that he doesn’t care about the rule but is concern on the possibility of being attacked by anti parallel trading protesters.
Residents and retailers frequented by Shenzhen visitors said that the decrease in the cutback in cross border trading might affect their businesses and some thought that the move will only have a limited impact on parallel trading since a high demand for daily staples can be resold for a profit in Shenzhen.
Retailers and residents in the districts frequented by Shenzhen visitors said the cutback in cross-border traffic could affect their businesses, though some believe the move will only have a limited impact on parallel trading as there was high demand for daily staples such as milk powder, which can be resold for a profit across the border in Shenzhen.