Malaysia Producer Inflation at 4-Year High

2026-08-28 04:05 By Farida Husna 1 min. read

Malaysia’s producer prices surged 9.7% year-on-year in July 2026, accelerating from a 9.2% increase in the prior month and marking the fifth straight month of growth.

It was also the strongest annual rise since June 2022, amid intensifying producer cost pressures as supply disruptions linked to the Middle East conflict persisted.

Manufacturing prices accelerated (8.2% vs 7.2% in June), driven by higher costs for coke & refined petroleum products (30.4%) and computer, electronic & optical products (10.5%).

Mining also gained momentum (30.5% vs 29.0%), supported by stronger growth in crude petroleum extraction (39.6%).

In contrast, price growth in agriculture slowed (7.2% vs 9.1%), despite increases in animal production (11.3%) and perennial crops (6.2%).

Utilities also expanded at a slower pace, although water supply (10.2% vs 12.7%) and electricity & gas (6.7% vs 10.2%) continued to record solid price gains.

On a monthly basis, producer prices rose 0.7%, after a 0.6% gain in June.



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Malaysia Producer Prices Rise the Most in Over 4 Years
Malaysia’s producer prices jumped 10.7% year-on-year in August 2026, accelerating from a 9.7% increase in the prior month and marking the sixth straight month of growth. It was also the strongest annual rise since June 2022, amid persistent producer cost pressures linked to supply disruptions from the Middle East conflict. Manufacturing prices quickened (8.8% vs 8.2% in July), driven by higher costs for coke & refined petroleum products (33.5%) and computer, electronic & optical products (12.4%). Mining also gained momentum (41.2% vs 30.5%), boosted by stronger growth in crude petroleum extraction (49.8%). Meanwhile, price growth in agriculture slowed (4.6% vs 7.2%), despite increases in animal production (13.9%). Utilities also expanded at a softer pace, amid slowdown in water supply (7.8% vs 10.2%) and electricity & gas (6.4% vs 6.7%). On a monthly basis, producer prices rose 1.0%, up from 0.6% in July.
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Malaysia Producer Inflation at 4-Year High
Malaysia’s producer prices surged 9.7% year-on-year in July 2026, accelerating from a 9.2% increase in the prior month and marking the fifth straight month of growth. It was also the strongest annual rise since June 2022, amid intensifying producer cost pressures as supply disruptions linked to the Middle East conflict persisted. Manufacturing prices accelerated (8.2% vs 7.2% in June), driven by higher costs for coke & refined petroleum products (30.4%) and computer, electronic & optical products (10.5%). Mining also gained momentum (30.5% vs 29.0%), supported by stronger growth in crude petroleum extraction (39.6%). In contrast, price growth in agriculture slowed (7.2% vs 9.1%), despite increases in animal production (11.3%) and perennial crops (6.2%). Utilities also expanded at a slower pace, although water supply (10.2% vs 12.7%) and electricity & gas (6.7% vs 10.2%) continued to record solid price gains. On a monthly basis, producer prices rose 0.7%, after a 0.6% gain in June.
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Malaysia’s producer prices climbed 9.2% year-on-year in June 2026, accelerating from a 7.8% increase in May and marking the fourth consecutive month of growth. It was also the strongest annual rise since June 2022, as producer cost pressures intensified amid supply disruptions linked to the Middle East conflict. Manufacturing prices accelerated sharply (7.2% vs. 3.5% in May), driven by higher costs for coke & refined petroleum products (30.1%) and computer, electronic & optical products (8.3%). The agriculture sector remained resilient (9.1% vs. 8.9%), supported by fishing (12.5%) and perennial crops (10.8%). Utilities also posted solid gains, with water supply (10.2% vs. 10.0%) and electricity & gas (12.7% vs. 11.2%) continuing to strengthen. Meanwhile, mining growth slowed markedly (29.0% vs. 52.6%), although crude petroleum extraction remained robust (40.7%). On a monthly basis, the producer price index rose 0.6%, easing from a 1.1% increase in May.
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