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Medical authorities confirmed a 39-year-old man who was being treated for the virus died on Tuesday morning.
The man was a resident of Hong Kong who had travelled last month to Wuhan, the Chinese city at the centre of the outbreak, returning home on January 23 via a high speed rail link.
Since emerging from Wuhan late last year, the coronavirus has infected 20,000 people across China and spread to more than 20 countries.
But so far only the Philippines and Hong Kong have reported a fatality outside of the Chinese mainland.
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Hong Kong’s Hospital Authority said further details about the death would be released later on Tuesday.
Multiple local media outlets, citing medical sources, said the man had underlying health issues that had complicated his treatment.
His death came a day after Hong Kong’s leader announced the closure of all but two land border crossings to the Chinese mainland in a bid to halt the spread of the virus.
Currently 15 people have tested positive for the virus in Hong Kong, many of them people who arrived in the semi-autonomous city from the mainland.
There has been growing public anger over the Hong Kong government’s response to the outbreak, with calls to seal the border entirely. There is also an acute shortage of masks and a strike by some medical workers that entered its second day on Tuesday.