September exports up 6.7% to RM83b, in line with forecast

The slump in global semiconductor sales in 2019, down more than 13% on-year in the first half of 2019, has been the sharpest since 2009.

KUALA LUMPUR: Malaysia's exports rose 6.7% in September to RM83.05bil, which was in line with Bloomberg's forecast, underpinned by steady electrical and electronics (E&E) products.

The Ministry of International Trade and Industry announced on Monday China remained the top market for Malaysia's exports, though it dipped by 0.6% to RM11.32bil on-year. 

“This was attributed to lower exports of E&E products, palm oil and palm oil-based agriculture products and rubber products,” it said. 

MITI said however, chemicals and chemical products, LNG, manufactures of metal and optical and scientific equipment recorded increases for this month. 

However, imports from China were lower by 1.2% to RM13.13bil. 

“Compared to August 2018, trade, exports and imports contracted by 14.8%, 4.3% and 22.2%, respectively,” it said. 

For September, overall exports at RM83.05bil were the highest since July's RM86.15bil.

Malaysia’s imports fell by 2.7% to RM67.78bil. Trade surplus posted a double-digit increment of 85.9%, amounting to RM15.26bil, the largest trade surplus ever recorded since October 2008. 

MITI said exports of manufactured goods in September rose by 7.9% on-year to RM70.32bil and accounted for 84.7% of Malaysia’s total exports. 

“The expansion was driven mainly by higher exports of E&E products, chemicals and chemical products, iron and steel products as well as optical and scientific equipment. 

Exports of mining goods which constituted 7.9% of Malaysia’s total exports, rose by 17% to RM6.53bil. 

Higher exports were recorded for crude petroleum due to higher average unit value (AUV) and export volume and liquefied natural gas (LNG), due to higher AUV. 

E&E products in September rose 6.5% on-year to RM32.88bil and accounted for 39.6% of total exports.

Petroleum products rose by 6.8% to RM6.42bil and accounted for 7.7%; chemicals and chemical products jumped by 31.7% to RM4.89bil; palm oil and palm oil-based agriculture products fell by 16.5% to RM3.78bil.

MITI said Malaysia’s trade with the US in September 2018 grew by 3.3% to RM13.24bil and accounted for 8.8% of Malaysia’s total trade. 

Exports edged up 0.1% to RM7.68bil from a year ago, underpinned by higher exports of optical and scientific equipment, rubber products, chemicals and chemical products as well as iron and steel products. 

Imports from the US expanded by 8.1% to RM5.56bil.