Malaysia Industrial Output Growth Hits 3-Month High

Industrial production in Malaysia grew by 6.3% yoy in September 2026, accelerating from a 5.0% gain in the previous month, surpassing market expectations of 5.8%. It was the strongest growth since June, mainly driven by higher production in the manufacturing sector, which rose to 9.4% from 7.4% in August. The manufacturing subsectors that contributed the most to the increase were electrical & electronics products (17.3% vs 17.0%), food, beverages and tobacco products (7.2% vs 1.5%), and non-metallic mineral products, basic metal & fabricated metal products (6.8% vs 5.7%). Electricity output growth also accelerated to 10.7% from 9% in the prior month. Conversely, mining activity (-9.4% vs -7.4%) declined further, weighed down by lower production of crude oil and condensate (-11.8% vs -12.2%) and natural gas (-7.9% vs -4.3%). On a seasonally adjusted monthly basis, industrial output rose by 1.2%, after a 0.5% growth in August, marking the fastest increase in five months.

Industrial production in Malaysia rose by 5.0% year-on-year in August 2026, accelerating from a 4.7% gain in the previous month, which was the softest increase since March. The faster growth was driven largely by higher production in the manufacturing sector, rising to a four-month high of 7.4% from 6.4% in July. The manufacturing subsectors which contributed the most to the increase were electrical & electronics products (17.0% vs 13.3%), petroleum, chemical, rubber & plastic products (2.6% vs 1.7%), and non-metallic mineral products, basic Metal & fabricated metal products (5.7% vs 5.9%). Electricity output also climbed 9% from 5.5% in the prior month. In contrast, mining activity (-7.4% vs -3.2%) declined further, due to lower production for crude oil and condensate (-12.2% vs -13.1%) and natural gas (-4.3% vs 3.6%). On a seasonally adjusted monthly basis, industrial output grew by 0.5%, rebounding from a 0.1% fall in July.

Industrial production in Malaysia increased by 4.7% year-on-year in July 2026, easing from a 6.5% rise in the previous month and below market forecasts of 5.4%. It was the softest increase in industrial production since March, due mainly to softer rises in manufacturing (6.4% vs 7.3%), driven by lower production of transport equipment and other manufactures (4.5% vs 9.4%), petroleum, chemical, rubber & plastic (1.7% vs 2.6%), and electrical and electronics products (13.3% vs 13.6%). Meanwhile, electricity output also eased to 5.0% from 6.7%. Additionally, mining fell (-3.2% vs 3.1%), as crude oil and condensate output declined at a faster pace (-13.1% vs -3.3%), while gas production eased sharply (3.6% vs 7.4%). For the first seven months of the year, industrial production grew 5.7% yoy, driven by manufacturing (6.5%), electricity (6.1%), and mining (2.0%). On a seasonally adjusted monthly basis, industrial output edged down 0.1% in July, following a 0.5% fall in the preceding period.