KUALA LUMPUR (June 19): Malaysian exports surged in May to the highest growth in nearly three years thanks to shipments of electronics and petroleum products as deliveries to the US nearly doubled.
Exports totalled RM184 billion, an increase of 45% when compared to the same month last year, according to the Ministry of Investment, Trade and Industry. That outperformed the median 30% rise predicted by economists in a Bloomberg survery and April’s 37% year-on-year gain.
Going forward, the ministry said it will continue to “assess global trade developments and strengthen proactive measures to preserve Malaysia’s trade resilience and support sustained growth momentum”.
The stronger-than-expected performance in April came at a time when geopolitical conflict in the Middle East disrupted global trade flows. Still, demand for electronics and semiconductors has proven resilient while prices of petroleum and petroleum products remained elevated.
Electrical and electronic products, which accounted for nearly half of the total outbound shipments in terms of value, were 71% higher year-on-year in May. Exports of petroleum products was up 74% while that of liquefied natural gas more than doubled.
In terms of markets, deliveries jumped 98% to the US and 45% to the European Union. Orders from China, Malaysia’s biggest trading partner, climbed 28% in terms of value.
Gross imports, meanwhile, expanded at a more moderate pace of 14% year-on-year to RM143.62 billion in May.
Inbound shipments of consumption goods and capital goods both contracted while imports of intermediate goods — components and parts used in the final assembly — rose 14% in May from a year earlier.
All in all, trade surplus expanded to RM40.38 billion, a jump of 53 times on a year-on-year basis and 38% month-on-month.