KUALA LUMPUR (Nov 8): Malaysia’s industrial production index (IPI) grew 10.8% year-on-year (y-o-y) in September 2022, driven by the increase in the mining and manufacturing sectors.

The mining sector rose 15% y-o-y in September, followed by manufacturing (10.4%) and electricity (4.1%), according to the Department of Statistics Malaysia (DOSM).

In a statement on Tuesday (Nov 8), the DOSM said the main subsectors contributing to the growth in the manufacturing sector were electrical and electronics products (15.5%), petroleum, chemical, rubber and plastic products (6.5%), and transport equipment and other manufactures products (21.6%).

The growth in the mining sector was spearheaded by a 21% increase in the natural gas index and 7.2% rise in the crude oil and condensate index.

The increase in the manufacturing sector was driven by both domestic-oriented (11.2%) and export-oriented industries (10.1%).

“The growth for the domestic-oriented industry was attributed [to] the manufacture of motor vehicles, trailers and semi trailers and manufacture of food processing products.

"Meanwhile, the increase in [the] export-oriented industry was mainly supported by the manufacture of computer, electronics and optical products, and manufacture of coke and refined petroleum products. The performance of the manufacturing sector was also in line with the encouraging growth of exports,” it noted.

For the third quarter of 2022, the IPI climbed 12.2% compared to the same period of the previous year, thanks to growth in the manufacturing index (13.4%), electricity index (9%) and mining index (8.6%), the department said.

It also said that in the period of January to September this year, the IPI recorded an expansion of 7.9% versus the same period last year, underpinned by growth in manufacturing (9.7%), electricity (6.3%) and mining (1.6%).