Malaysia’s Trade Openness Rises In 2025, Led By Penang, Johor And Kedah

Malaysia’s Trade Openness Index (TOI) increased to 151.0 in 2025, reflecting the country’s continued integration into global trade, with Pulau Pinang, Johor and Kedah recording the highest state-level trade openness levels in 2024.

According to data released by the Department of Statistics Malaysia (DOSM), Pulau Pinang recorded the highest TOI at 575.1, followed by Johor at 332.1 and Kedah at 234.2.

Malaysia’s total trade value reached RM3.1 trillion in 2025, comprising RM1.6 trillion in exports and RM1.5 trillion in imports.

Exports increased by RM97.2 billion or 6.4% compared with the previous year, supported mainly by stronger export performance from several key states.

Pulau Pinang recorded the largest increase in exports, rising RM117.9 billion, followed by Johor (+RM12.6 billion), Selangor (+RM7.6 billion), Melaka (+RM4.2 billion), Perak (+RM117.4 million), Sabah (+RM134.7 million) and Perlis (+RM0.5 million).

However, export declines were recorded in Sarawak (-RM15.1 billion), Kedah (-RM10.3 billion), Kuala Lumpur (-RM8.4 billion), Terengganu (-RM4.8 billion), Pahang (-RM4.8 billion), Negeri Sembilan (-RM1.4 billion), Labuan (-RM1.0 billion) and Kelantan (-RM96.0 million).

Pulau Pinang remained Malaysia’s largest exporting state, accounting for 38.1% of total exports, followed by Johor (19.8%), Selangor (17.0%), Sarawak (6.4%) and Kuala Lumpur (3.7%).

Meanwhile, Malaysia’s imports rose RM81.6 billion or 6.0% in 2025 compared with 2024.

The increase in imports was mainly driven by higher demand in Pulau Pinang, which recorded a RM60.4 billion increase, followed by Kuala Lumpur (+RM24.8 billion), Selangor (+RM23.5 billion), Johor (+RM6.5 billion), Perak (+RM2.9 billion), Sabah (+RM582.8 million) and Kelantan (+RM112.7 million).

Import declines were recorded in Kedah (-RM12.3 billion), Negeri Sembilan (-RM7.1 billion), Melaka (-RM6.9 billion), Pahang (-RM5.7 billion), Sarawak (-RM3.6 billion), Terengganu (-RM2.2 billion), Labuan (-RM753.3 million) and Perlis (-RM254.3 million).

Selangor remained the country’s largest import destination, contributing 26.3% of total imports, followed by Pulau Pinang (24.4%), Johor (22.3%), Kuala Lumpur (8.9%) and Kedah (4.9%).

The latest figures highlight the continued importance of Malaysia’s manufacturing and export hubs, particularly in the electrical and electronics (E&E), industrial and logistics sectors, with northern and southern economic corridors playing a key role in sustaining trade growth.

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