Manufacturing output drives September IPI up 6.3%


The statistics department said the IPI momentum was driven by expansion in the manufacturing output and electricity generation sectors.

PETALING JAYA: Malaysia’s industrial production index (IPI) rose 6.3% year-on-year in September, driven mainly by the manufacturing sector, which recorded sales valued at RM191.1bil.

The Department of Statistics Malaysia (DOSM) said the IPI momentum was driven by expansion in the manufacturing output sector by 9.4% (August 2026: 7.4%) and the electricity generation sector by 10.7% (August 2026: 9.0%).

“Conversely, the mining sector declined 9.4% (August 2026: minus 7.4%), due to a decline in output of crude petroleum and condensate (minus 11.8%) and natural gas (minus 7.9%)

“In terms of month-on-month performance, the IPI registered an increase of 1.3% (August 2026: 2.6%), which was supported by a 2.9% growth in the manufacturing sector,” it said in a statement.

Cumulatively, DOSM said the IPI performance for the first nine months of 2026 grew by 5.7% compared to the same period in 2025 (January to September 2025: 2.9%).

“The IPI performance for the third quarter of financial year 2026 (3Q26) increased further to 5.3% (2Q26: 7.7%).

“This performance was anchored by the increase in the manufacturing (7.8%) and electricity (8.3%) sectors, offsetting a 6.7% contraction in the mining sector.

“On a quarter-on-quarter basis, the IPI maintained its positive growth with a 4.3% increase,” it added. — Bernama

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