MALAYSIA'S TOTAL TRADE IN JANUARY 2024 REBOUNDS BY 13.3 PCT TO RM234.73 BLN Y-O-Y - MITI

Malaysia's total trade in January 2024 rebounded with a double-digit expansion by 13.3% to RM234.73 billion year-on-year (y-o-y) after registering the 10th consecutive month of contraction, said the Ministry of Investment, Trade and Industry (MITI). 

In a statement, the ministry said exports edged up by 8.7% to RM122.43 billion and imports rose by 18.8% to RM112.3 billion. 

This was also the highest monthly value recorded for the month of January, it said. 

“Meanwhile, the trade surplus amounted to RM10.12 billion and marked the 45th consecutive month of trade surplus since May 2020.

“The export growth was boosted by higher shipments of petroleum products, machinery, equipment and parts, iron and steel products as well as manufactures of metal,” said MITI.

It said exports to major trading partners namely Asean, the United States (US), the European Union (EU) and Japan also recorded expansion. 

"Compared to December 2023, trade, exports and imports increased by 4.3%, 3.4%, and 5.3%, respectively, while trade surplus contracted by 13.8%," said MITI. 

On the export performance of major sectors in January 2024, MITI said exports of manufactured goods, which accounted for 84.7% of total exports, improved by 9.3% y-o-y to RM103.65 billion. 

Almost all manufactured goods recorded double-digit export expansion except for electrical and electronics (E&E) products, which dropped by 6.5% (from January 2023) mainly to China and Singapore. 

Higher exports were seen for petroleum products, machinery, equipment and parts, iron and steel products as well as manufactures of metal.

Exports of mining goods (7.9% share) declined by 4.9% y-o-y to RM9.72 billion following reduced exports of liquefied natural gas.

Exports of agriculture goods (6.7% share) rebounded with a double-digit expansion of 17.5% to RM8.24 billion after recording negative y-o-y growth since November 2023.

"This was backed mainly by robust exports of palm oil and palm oil-based agriculture products. All agriculture goods recorded double-digit export growth," said the ministry.

On a month-on-month (m-o-m) basis, exports of manufactured and agriculture goods rose by 4.8% and 0.9%, respectively, while exports of mining goods shrank by 6.1%. 

In January 2024, MITI said that trade with Asean accounted for 27.6% of Malaysia's total trade, registering a double-digit growth of 17.4% y-o-y to RM64.87 billion. 

It said exports to major markets in Asean that recorded increases were Vietnam, which grew by RM2.1 billion due to higher exports of E&E products, Indonesia (RM2.1 billion) and the Philippines (RM446.5 million), buoyed by strong exports of petroleum products, respectively.

In January 2024, trade with China, which took up 16.9% of Malaysia's total trade, edged up by 6.9% y-o-y to RM39.57 billion.

Trade with the US, which represented 9.4% of Malaysia's total trade in January 2024, recorded a double-digit growth of 18.2% y-o-y to RM22.11 billion. 

Meanwhile, in the same period, trade with the EU, which made up 7.6% of Malaysia's total trade, recovered by 5.4% y-o-y to RM17.87 billion. 

“Exports to the EU major markets that recorded growth were Germany and France, which increased by RM627 million and RM13.2 million, respectively, backed by strong exports of E&E products,” it said. 

MITI said exports to Italy were up by RM312.6 million, owing to robust exports of manufactures of metal.

“In January 2024, trade with Japan, which comprised 5.9% of Malaysia's total trade declined by 1% y-o-y to RM13.95 billion.

“(Conversely), trade with Free Trade Agreement partners, which absorbed 66.9% of Malaysia's total trade, edged up by 11% y-o-y to RM156.99 billion,” it added.