HONG KONG, July 20 (Reuters) - Rain pounded Hong Kong on

Sunday as Typhoon Wipha skirted southwards, packing winds

exceeding 167 kph (103 mph), disrupting 400 flights and public

transport, felling hundreds of trees, and damaging a

construction site.

Just after 4 p.m. on Sunday, weather authorities lowered the

typhoon signal in the Asian financial hub to 8 from the maximum

of 10, which had been hoisted for nearly seven hours, while more

than 110 mm (4 inches) of rain fell within three hours.

Much of the rain concentrated on the northern region

neighbouring the mainland, the city's observatory said, warning

of more to come.

In a statement, the government said 26 people sought

treatment in public hospitals, while 253 flocked to its

shelters, and 471 fallen trees were reported.

In North Point near the city's harbour, large swathes of

scaffolding were swept off a residential building and onto the

road.

As Wipha tracks westward across the South China Sea it is

expected to make landfall later on Sunday between Zhuhai and

Zhanjiang in the southern province of Guangdong, state-run

broadcaster CCTV said.

Authorities in neighbouring Macau, the world's biggest

gambling hub, also downgraded the typhoon signal to 8 from 10,

warning of flooding in its inner harbour area and urging

residents to stay safe, public broadcaster TDM said.

Hong Kong's airport authority said 80,000 travellers were

hit by the rescheduling of 400 flights forced by the typhoon.

Cathay Pacific Airways ( CPCAF ) cancelled all flights with

Hong Kong airport between 5 a.m. and 6 p.m. on Sunday. It waived

ticket change fees and arranged for rebooking.

Most public transport in Hong Kong was suspended, including

ferries amid high sea swells.