During the Second Sino-Japanese War (1937–1945), the Lais first returned to Hong Kong when Japan invaded Shanghai in 1937. In Hong Kong Lim continued to act in films, many patriotic and anti-Japanese in nature. Following Japan's invasion of Hong Kong in 1941, the family escaped to mainland China, first to Chikan, Kaiping, Guangdong, where at one point Lim had to peddle old clothes on the street to make ends meet. When Japanese soldiers overran Kaiping in 1943, they fled again, this time to Guilin, Guangxi, where they ran a photographic studio. After the war ended, the family returned to Hong Kong, and Lim acted again for another 8 years. She retired after her husband's 1953 death to raise their 9 children. She visited mainland China in the 1970s before her death in Hong Kong in 1979.