The Observatory said it will consider issuing the Standby Signal No 1, or cancelling all tropical cyclone warning signals between 6pm and 9pm on Wednesday as tropical storm Mulan gradually moves away from Hong Kong.
The forecaster said that in the past few hours, local winds are moderating.
However, it urged members of the public to remain on the alert, saying the outer rainbands associated with Mulan will continue to bring occasional squally showers to Hong Kong.
Seas will also remain rough with swells.