Malaysia Exports Unexpectedly Drop in May

Exports from Malaysia unexpectedly fell by 1.1% yoy to a three-month low of MYR 126.6 billion in May 2025, missing forecasts of an 8.9% rise and reversing a 16.4% surge in April.

It marked the 1st drop in exports in eight months, driven by lower shipments to China—Malaysia's top trading partner—and Japan, although sales to the US increased.

By sector, mining shipments plunged 23.6%, led by steep falls in LNG exports (-42.2%) and crude petroleum (-28.9%).

Manufacturing sales also fell 0.3%, weighed down by a 28.9% drop in petroleum products.

In contrast, agricultural exports rose 8.3%, mainly supported by palm oil and related products (8.3%).

By destination, exports fell to Singapore (-18.0%), China (-4.3%), and Japan (-25.7%), while rising to the US (16.1%) as factories rushed to ship goods in April following President Trump’s announcement of a 90-day pause on plans to impose a 24% levy on Malaysia.

For the January–May 2025 period, total exports grew by 5.5% yoy to MYR 638.5 billion.