Exports of Malaysia’s E&E Products to ASEAN in January 2021 constituted 26.5 percent of Malaysia’s total trade, having expanded by 7.4 percent to RM43.03 billion compared to January 2020.
Exports grew for two straight months, recording a 7.3 percent growth to RM25.73 billion in January 2021 buoyed by higher exports of E&E products. Imports from ASEAN picked up by 7.6 percent to RM17.29 billion.
Exports to markets in ASEAN that recorded expansion were Singapore, which increased by RM621 million, attributed to higher exports of E&E products. Exports to Vietnam recorded an increase by RM1.22 billion meanwhile exports to the Philippines surged to RM91.5 million on the back petroleum products.
Exports Brunei increased by RM152.9 million at the back crude petroleum export.
On a m-o-m basis, trade, exports and imports were up by 0.9 percent, 0.6 percent and 1.5 percent, respectively.
Trade with China in January 2021 surged by 13.3 percent y-o-y to RM29.9 billion, accounting for 18.4 percent of Malaysia’s total trade. Exports to China recorded a double digit growth since November 2020, expanding by 26 percent to RM13.11 billion in January 2021.
The increase was due to higher exports of E&E products, iron and steel products as well as other manufactures especially solid state storage devices (SSD). Imports from China expanded by five percent to RM16.79 billion. Compared to December 2020, trade, exports and imports declined by 11 percent, 15.8 percent and 6.9 percent, respectively.
Additionally, trade with the US in January 2021 contributed 9.8 percent to Malaysia’s total trade, recording a growth of 3.4 percent y-o-y to RM15.94 billion. Exports to the US recorded a double-digit growth for eight months in a row, surged by 18.4 percent to RM10.31 billion in January 2021.
Higher exports were recorded for rubber products, wood products as well as optical and scientific equipment. Imports from the US slipped by 16.1 percent to RM5.62 billion. Compared to December 2020, trade, exports and imports fell by 2.7 percent, 4 percent and 0.2 percent, respectively.
Trade with FTA Partners
Trade with Free Trade Agreement (FTA) partners which made up 67.3 percent of Malaysia’s total trade grew by 6 percent y-o-y to RM109.49 billion. Exports to FTA partners increased by 6.5 percent to RM60.67 billion and imports rose by 5.4 percent to RM48.82 billion.
Increase in exports was recorded to Hong Kong SAR, by 8.9 percent to RM6.06 billion due to higher exports of E&E products, Australia, (15.4 percent to RM2.8 billion, petroleum products), Chile (110.5 percent to RM93.7 million, chemicals and chemical products) and Turkey (3.4 percent to RM702.1 million, rubber products). Compared to December 2020, trade, exports and imports contracted by 5.5 percent, 7 percent and 3.5 percent, respectively.
Import Performance
Total imports in January 2021 grew by 1.3 percent y-o-y to RM73.02 billion from RM72.08 billion in January 2020. The three main categories of imports by end use which accounted for 72.8 percent of total imports were intermediate goods, capital goods and consumption goods.
Intermediate goods, valued at RM39.39 billion or 53.9 percent of total imports, expanded by 1.4 percent, following higher imports of processed industrial supplies, particularly non-monetary gold.
Capital goods, valued at RM7.24 billion or 9.9 percent of total imports, declined by 5.4 percent, due mainly to reduced imports of capital goods (except transport equipment), primarily electrical machinery, equipment and parts.
Consumption goods, valued at RM6.54 billion or 9 percent of total imports, rose by 1.3 percent, as a result of higher imports of primary food and beverages mainly for household consumption, especially coffee, tea and spices.
