KUALA LUMPUR: Malaysia registered the 40th consecutive month of trade surplus in August 2023, registering a year-on-year (y-o-y) growth of 0.1 per cent to RM17.31 billion.
However, total trade was down by 19.8 per cent to RM213.01 billion amid slower global demand and lower commodity prices, according to the Ministry of Investment, Trade and Industry (Miti).
“Exports were lower by 18.6 per cent to RM115.16 billion and imports (fell) 21.2 per cent to RM97.85 billion,” it said in a statement today.
Miti said Malaysia’s performance was similar to its key trading partners, notably South Korea, China, Taiwan, and Indonesia which recorded negative trade growth for August 2023 and a drop in their global imports.
“Compared to July 2023, trade and trade surplus contracted by 1.5 per cent and 0.3 per cent, respectively,” it said.
Exports and imports fell by 1.4 per cent and 1.6 per cent, respectively, Miti said.
Between January and August 2023, trade was reduced by 8.1 per cent to RM1.71 trillion versus the same period a year ago.
“Exports shrank by 7.6 per cent to RM935.22 billion, imports slipped by 8.6 per cent to RM782.29 billion and trade surplus fell by two per cent to RM152.92 billion,” it said.
In August 2023, it said manufactured goods exports which accounted for 85.4 per cent, or RM98.36 billion of total exports, dropped by 17.7 per cent y-o-y following reduced demand for electrical and electronic (E&E) products, petroleum products as well as palm oil-based manufactured products.
Export growth was registered for paper and pulp products and processed food,” it said.
Exports of mining goods (7.3 per cent share) were lower by 23.1 per cent y-o-y to RM8.46 billion due to a drop in liquefied natural gas (LNG) and crude petroleum exports, Miti said.
Meanwhile, trade with Asean in August comprised 27.9 per cent, or RM59.46 billion of Malaysia’s total trade, which dropped by 16.3 per cent y-o-y.
“Exports weakened by 20.6 per cent to RM33.48 billion due to a fall in export of petroleum products and E&E products.
“Exports to Asean major markets that recorded double-digit growth was Vietnam, which grew by RM825.7 million, and the Philippines, which increased by RM333.8 million supported by strong exports of petroleum products,” it said.
Trade with China, which absorbed 16.7 per cent or RM35.65 billion of Malaysia’s total trade, contracted by 18.7 per cent y-o-y. Exports to China fell by 20.3 per cent to RM14.72 billion on lower exports of E&E products and LNG, the statement said.
“Trade with the United States in August 2023, which constituted 9.7 per cent of Malaysia’s total trade, weakened by 15.7 per cent y-o-y to RM20.68 billion,” it said.
The European Union (EU), which contributed 8.2 per cent of Malaysia’a total trade, grew by 0.6 per cent y-o-y to RM17.49 billion.
Trade with Japan, which made up 5.9 per cent or RM12.62 billion, fell by 25.7 per cent y-o-y, while exports dropped by 19.3 per cent to RM7.43 billion following lower shipment of LNG, petroleum products and E&E products.
“Trade with Free Trade Agreement (FTA) partners which took up 67.5 per cent, or RM143.71 billion of Malaysia’s total trade, edged down by 17.7 per cent y-o-y, the statement said.
Exports to FTA partners contracted by 18.6 per cent to RM79.47 billion while imports fell by 16.6 per cent to RM64.24 billion, it said. – BERNAMA
