PETALING JAYA: While Malaysian furniture exporters remain resilient despite US tariffs, shifting global supply chains and rising demand in markets like Saudi Arabia and emerging economies present fresh opportunities.
Chief executive officer of Malaysia External Trade Development Corp (Matrade) Abu Bakar Yusof said Matrade anticipates a significant shift in global supply chain dynamics that will inevitably impact the export sector.
On Jan 29, the Malaysian International Furniture Fair (MIFF) 2026 entered into an exchange of cooperation document with Matrade to advance a collective agenda of promoting quality Malaysian furniture on a global scale.
“By leveraging the synergy between MIFF, Asia’s premier furniture trade show and Matrade’s reach as a national promotion organisation, we aim to attract global buyers and position Malaysia as a regional furniture supply chain and trading hub,” he told StarBiz.
MIFF’s impact on exports is driven by its position as South-East Asia’s largest and a top-10 global furniture trade show.
“In 2025, the fair attracted 54% first-time visitors from around the world and generated a record-breaking US$1.31bil in on-site orders,” he said. Abu Bakar added Malaysian exporters must aggressively expand their footprint in free trade agreement countries and emerging markets.
He pointed out the booming development activity in Saudi Arabia and the rising economy in Africa as lucrative opportunities.
Based on Saudi Arabia’s trillion-dollar transformation via the Saudi Vision 2030, he highlighted the Kingdom’s economy as one of the most stable and high-growth trade opportunities in the global market for Malaysian exporters.
He said the Saudi Vision 2030 is the country’s strategic roadmap aimed to transition its economy from an oil-dependent one into a global powerhouse for business, investment and tourism.
“In 2024, we exported RM188mil worth of furniture to Saudi Arabia. In 2025, it rose by 4.3% to RM196mil,” he said.
In line with Saudi Vision 2030, Abu Bakar noted several unique avenues for the Malaysian furniture industry to capitalise on. He highlighted the Kingdom’s surging economic demand for premium home decor, contemporary lifestyle sets and durable outdoor living furniture.
He said Saudi Arabia’s rapid expansion of its retail and hospitality landscapes due to economic diversification, privatisation of key sectors and foreign direct investment creates capacity for Malaysian exporters.
By streamlining bureaucracy and digitising trade processes, Abu Bakar noted Saudi Arabia has made it significantly easier for international partners to establish presence and conduct business within its borders.
“The Kingdom’s transparent regulatory environment ensures reliable trade pathways, allowing Malaysian exporters to become long-term suppliers for the economy’s massive giga-projects,” he added.
In alignment with this momentum and key government initiatives, Abu Bakar pointed out Matrade’s participation in INDEX Saudi Arabia, scheduled for Sept 6 to 8, 2026 in Riyadh.
He said INDEX remains a cornerstone of Matrade’s regional strategy to tap into Saudi Arabia’s vast potential, as it is the country’s leading trade event for interior design, furniture and fit-outs.
In 2025, Matrade’s participation in the Malaysia Pavilion at INDEX Saudi Arabia delivered exceptional results, with the contribution of 14 Malaysian exhibitors generating export sales worth RM205.83mil, he said.
Beyond Saudi Arabia, Matrade maintains collaboration with industry leaders and associations to penetrate key international markets. “We have successfully organised specialised trade missions to Melbourne in Australia, High Point in North Carolina in the United States and Istanbul in Türkiye.
“These missions are designed to fortify networks and unlock new trade avenues for Malaysian exporters on a global scale,” he pointed out.
While the export landscape was shifted by tectonic geopolitical forces, from the persistent instability in the Middle East to prolonged conflicts in Eastern Europe, Abu Bakar maintained a positive outlook for Malaysian exports, moving forward.
He said trade performance had reached a historic milestone, and for the first time, Malaysia’s trade, exports and imports climbed to record-breaking levels.
“Trade rose 6.3% to RM3.06 trillion, driven by a 6.5% rise in exports to RM1.61 trillion and a 6.2% increase in imports to RM1.45 trillion. Furthermore, a trade surplus of RM151.80bil was recorded in 2025,” he explained.
Amid current US tariffs on exports, Abu Bakar said industry players are urged to proactively explore creative business partnerships with US traders beyond Matrade’s ongoing initiatives.
“By enhancing quality standards and cementing the reputation as reliable trade partners, Malaysia will remain an indispensable link in the US supply chain,” he said.
He also highlighted Malaysia’s 2025 export performance which registered a 1.6% increase, reaching RM6.15bil, and accounting for nearly half of its total global furniture exports.
The upward trend was primarily due to demand for furniture parts and wooden furniture, which was up by RM202mil and RM70mil, respectively.
He reiterated that Malaysia has been a preferred sourcing destination for the US furniture market, as a direct result of the unique value proposition offered by the country’s furniture exports.
“As predicted by Matrade, the United States remains a massive net importer of furniture. Between January and October 2025, the United States recorded a huge furniture trade deficit of US$44.02bil, importing over US$52bil in goods globally.
“The demand hasn’t disappeared, it is simply shifting,” he said at the press conference.
Abu Bakar also highlighted the global US eCommerce marketplace, Wayfair, and its entry into Malaysia as a sign of US confidence in the Malaysian furniture industry.
