MALAYSIA'S MARCH IPI UP 2.4% -- DOSM

The Industrial Production Index (IPI) increased by 2.4% year-on-year (y-o-y) in March 2024, spurred by the expansion in all sectors, according to the Department of Statistics Malaysia (DOSM).

Chief statistician Datuk Seri Dr Mohd Uzir Mahidin said the IPI remained positive albeit at a slower rate in March compared to the 3.1% growth recorded in the preceding month.

He said the increase was spearheaded by the expansion in the manufacturing sector, which grew by 1.3%, up from 1.2% in February 2024.

"In the meantime, the mining and electricity sectors registered 4.9% (February 2024: 8.1%) and 7.8% (February 2024: 10.9%), respectively," he said in a statement.

In comparison with the preceding month, Mohd Uzir said the IPI turned around to 7.5%, contrasting with the negative 6.3% recorded in the previous month.

Mohd Uzir said the export-oriented industries rebounded to 0.5% in March 2024 from negative 0.2% in February 2024, primarily led by the manufacture of computer, electronics and optical products; as well as the manufacture of coke and refined petroleum products.

In a month-on-month comparison, the export-oriented industries augmented by 11.0% as against the negative 5.8% in February 2024, he said.

Meanwhile, the domestic-oriented industries recorded a modest 3.1% growth compared to 4.1% in February 2024, attributed to the manufacture of fabricated metal products, except machinery and equipment, the manufacture of other non-metallic mineral products and the manufacture of food processing products.

"In comparison with the preceding month, the domestic-oriented industries rebounded to 1.9% from negative 7.2% recorded in the previous month," said Mohd Uzir.

For the first quarter of 2024 (1Q 2024), the IPI increased 3.3% y-o-y as compared to 0.8% recorded in 4Q 2023, supported by the acceleration registered in the mining sector by 5.9% and the electricity sector by 8.9%.

"Meanwhile, the manufacturing sector turned upward to 2.1% from the negative 0.2% posted in the previous quarter.

"In a quarter-on-quarter comparison, the IPI dropped by 1.0% influenced by the manufacturing sector at negative 1.8%," Mohd Uzir said.