Malaysia’s trade continued to gain momentum in February 2024, with a 3.3 per cent increase in total trade from RM205.0 billion in the previous year to RM211.8 billion.
The increase in total trade coincided with a rise of 8.4 per cent in imports to RM100.5 billion, mainly driven by capital goods (excluding transport equipment).
On the contrary, exports dropped marginally by 0.8 percent or RM939.5 million while trade balance fell by 44.4 per cent to RM10.9 billion in February 2024 as reported today in the Department of Statistics Malaysia’s (DOSM) Malaysia External Trade Statistics Bulletin, February 2024, which presents the performance of export and import products with its trading partners.
Chief Statistician Malaysia Dato’ Sri Dr. Mohd Uzir Mahidin said, “Malaysia’s export performance decreased in February 2024 in line with the decline in re-exports. Re-exports amounted to RM19.8 billion, dropped by 20.2 per cent while domestic exports worth RM91.5 billion, contributing 82.2 per cent to total exports rose by 4.7 per cent as compared to February 2023.
“In contrast, imports worth RM100.5 billion, increased by 8.4 per cent. On the other hand, trade surplus decreased 44.4 per cent to RM10.9 billion, the 46th consecutive month of surplus since May 2020.
“Comparing the trade performance with January 2024, exports, imports and total trade recorded a contraction of 9.1 per cent, 10.5 per cent and 9.7 per cent, respectively.
“On the contrary, trade balance recorded an increase of 6.9 per cent.”
From the perspective of commodity group, 113 out of 257 export groups showed a decline, while 172 out of 259 import groups increased as compared to the same month of the previous year.
He explained that the lower exports was attributable from the decrease mainly to Singapore (-RM2.8 billion) followed by Hong Kong (-RM2.1 billion), Thailand (-RM1.0 billion), Republic of Korea (-RM476.7 million) and Brazil (-RM396.8 million).
Meanwhile, higher imports were mainly contributed by Singapore (+RM2.8 billion) followed by the United States (+RM1.1 billion), the United Arab Emirates (+RM871.0 million), Republic of Korea (+RM793.5 million) and the European Union (+RM739.7 million).
On exports, the drop was in line with the decrease in electrical & electronic products (-RM4.4 billion); petroleum products (-RM1.7 billion); palm oil & palm-based agriculture products (-RM579.4 million) and chemical & chemical products (-RM351.8 million).
Meanwhile, the increase in imports was logged for electrical & electronic products (+RM2.8 billion); machinery, equipment & parts (+RM2.0 billion); petroleum products (+RM1.1 billion) and manufacture of metal (+RM872.4 million).
Mohd Uzir said, “The rise in imports by End Use was in line with higher demand for capital goods, consumption goods and intermediate goods. Imports of capital goods with a value of RM10.2 billion, rose by 30.3 per cent as compared to February 2023, representing 10.2 per cent of total imports.
“Consumption goods (8.4% of total imports), grew by 19.7 per cent from RM7.0 billion in the previous year to RM8.4 billion. Intermediate goods (55.5% of total imports), valued at RM55.8 billion, registered an increase of 14.3 per cent or RM7.0 billion.”
Total trade, exports and imports for the period of January to February 2024 registered an improvement. Total trade grew by 8.3 per cent, from RM412.1 billion to RM446.4 billion, in line with the rise in exports (+3.9%) as well as imports (+13.6%).
On the contrary, trade surplus decreased by 44.2 per cent to post a value of RM21.0 billion.
