KUALA LUMPUR (Sept 9): Malaysia’s industrial output grew at a slower than expected pace in July, as manufacturing and electricity sectors expanded while mining contracted, official data showed.
The industrial production index — which tracks output from factories, power plants and mines — rose 4.7% in July when compared to the same month last year, the Department of Statistics Malaysia said in a statement.
The print is lower than the 5.6% increase predicted in a Bloomberg poll and June’s 6.5% year-on-year rise.
On a month-on-month basis, the index declined 2% in July.
Industrial production across Asian exporter economies mostly eased in July amid supply chain disruption as well as higher costs of fuel and raw materials. Factory output in China, Malaysia’s biggest trading partner, also decelerated during the same month.
Year-on-year, output from the key manufacturing sector rose 6.4%. Export-oriented industries, which accounted for about two-thirds of manufacturing output, climbed 6.7%, driven by computer, electronics and optical products as well as machinery and equipment.
Production in domestic-oriented industries were 5.8% higher led by basic metals and food processing products.
Electricity generation increased 5.0%, lower than the 6.7% gain in June.
Mining output shrank 3.2% in July compared to an expansion of 3.1% in June, as crude oil and condensate declined further while production growth of natural gas moderated.