Trade Performance November 2024
MALAYSIA'S TRADE SURPLUS REBOUNDS IN NOVEMBER 2024, RECORDING THE HIGHEST VALUE SINCE OCTOBER 2023
Trade Registers the Highest Periodic Value for the First 11 Months of 2024
Malaysia’s trade performance remained robust and steady, demonstrating consistent growth in the 11 months of 2024. Trade for January to November 2024 posted the highest value ever for the period, expanding by 8.7% to RM2.621 trillion compared to the same period in 2023. Exports increased by 4.7% to RM1.369 trillion and imports expanded by 13.3% to RM1.252 trillion, resulting in a trade surplus of RM117.94 billion. This positions the country on track to meet the Ministry of Finance’s (MOF) growth forecast for trade, exports and imports in 2024, which are set at 9.4%, 5.6%, and 13.8%, respectively.
Meanwhile, trade in November 2024 recorded the 11th successive month of year-on year (y-o-y) growth, expanding by 2.9% to RM237.85 billion. Exports increased for the second consecutive month, growing by 4.1% to RM126.57 billion and imports were higher by 1.6% to RM111.28 billion. Trade surplus recorded double-digit growth, rebounded by 26.3% to RM15.29 billion, the highest value recorded in 14 months since October 2023 and the 55th successive month of surplus since May 2020.
The strong exports in November 2024 were supported by robust growth in key sectors, notably manufactured and agriculture goods, particularly electrical and electronic (E&E) products, palm oil and palm oil-based agriculture products as well as machinery, equipment and parts. Meanwhile, exports to the United States (US) surged to a new record high, while exports to Taiwan, Province of China (POC) grew significantly, fuelled by rising demand for E&E products notably semiconductor devices and integrated circuits (ICs). The World Semiconductor Trade Statistics (WSTS) Organisation has revised upwards its global semiconductor sales projection for 2024 to 19% (initial estimation: 16%) due to stronger performance in the E&E sector.
Export Performance of Major Sector
Exports of Manufactured and Agriculture Goods Drove Export Growth
In November 2024, exports of manufactured goods which represented 85.1% of Malaysia’s total exports increased by 5.2% y-o-y to RM107.65 billion, contributed by higher shipments of E&E products, machinery, equipment and parts, rubber products as well as chemicals and chemical products.
Exports of agriculture goods (7.5% share) posted the eighth consecutive month of y-o-y expansion, registering a double-digit growth of 13.4% to RM9.52 billion. This was on account of solid exports of palm oil and palm oil-based agriculture products due to increased export volumes and prices.
Meanwhile, exports of mining goods (6.6% share) slipped by 17.3% y-o-y to RM8.3 billion following lower exports of crude petroleum due to decreased export volumes and prices. However, exports of liquefied natural gas (LNG) grew on higher export volumes.
Major exports in November 2024:
- E&E products, valued at RM51.03 billion and accounted for 40.3% of total exports, increased by 12.2% compared to November 2023;
- Petroleum products, RM8.88 billion, 7% of total exports, ↓33.4%;
- Palm oil and palm oil-based agriculture products, RM7.35 billion, 5.8% of total exports, ↑19.9%;
- Chemicals and chemical products, RM6.38 billion, 5% of total exports, ↑6.1%; and
- Machinery, equipment and parts, RM6.31 billion, 5% of total exports, ↑23.5%.
On a month-on-month (m-o-m) basis, exports of mining goods increased by 7.5%, while exports of manufactured and agriculture goods reduced by 1.7% and 2%, respectively.
During the first 11 months of 2024, exports of manufactured goods grew by 4.9% to RM1.172 trillion compared to the corresponding period in 2023, buoyed by higher exports of E&E products, machinery, equipment and parts as well as processed food. Exports of agriculture goods rose 9.8% to RM95.09 billion contributed by strong exports of palm oil and palm oil-based agriculture products as well as natural rubber. On the contrary, exports of mining goods decreased by 2.8% to RM92.94 billion, underpinned by lesser exports of crude petroleum as well as metalliferous ores and metal scrap.
Trade Performance with Major Markets
In November 2024, Malaysia’s trade with major trading partners namely ASEAN, China, the US, the European Union (EU) and Taiwan, POC accounted for 68.7% share of Malaysia’s total trade in the month.
ASEAN – Trade, Exports and Imports Grew During the first 11 months of 2024
Trade with ASEAN in November 2024 which represented 25.3% of Malaysia’s total trade decreased by 5% y-o-y to RM60.14 billion. Exports dipped by 6.3% to RM34.1 billion as a result of weaker demand for petroleum products, crude petroleum as well as optical and scientific equipment. Nevertheless, increased exports were recorded for E&E products, machinery, equipment and parts as well as transport equipment. Imports from ASEAN were lower by 3.1% to RM26.04 billion.
Breakdown of exports to ASEAN countries:
- Singapore RM18.01 billion, decreased by 1.3%, y-o-y;
- Thailand RM4.99 billion, ↓9.7%;
- Indonesia RM4.19 billion, ↓7.2%;
- Viet Nam RM3.74 billion, ↓30.6%;
- Philippines RM2.30 billion, ↑7.1%;
- Brunei RM418.6 million, ↑93.1%;
- Cambodia RM261.2 million, ↑121.3%;
- Myanmar RM183.0 million, ↓22.3%; and
- Lao PDR RM5.1 million, ↓23.0%.
Export expansion was recorded to the Philippines, increased by RM152.7 million y-o-y on account of higher exports of E&E products and exports to Brunei edged up by RM201.8 million owing to higher exports of crude petroleum.
On a m-o-m basis, trade, exports and imports slipped by 2.7%, 3.7% and 1.3%, respectively.
During the first 11 months of 2024, trade with ASEAN climbed 5.2% to RM698.13 billion compared to the corresponding period in 2023. Exports to this region rose 3.1% to RM399.48 billion fuelled by larger exports of machinery, equipment and parts, petroleum products as well as manufactures of metal. Imports from ASEAN were up by 8% to RM298.65 billion.
China – Trade Rebounded in November 2024
In November 2024, trade with China which made up 17.3% of Malaysia’s total trade rebounded by 0.7% y-o-y to RM41.23 billion. Exports shrank 11.9% to RM15.17 billion following lower exports of E&E products, LNG as well as metalliferous ores and metal scrap. Meanwhile, higher shipments were registered for machinery, equipment and parts, optical and scientific equipment as well as palm oil-based manufactured products. Imports from China expanded by 9.8% to RM26.06 billion.
Compared to October 2024, trade and imports rose 0.5% and 4.3%, respectively while exports dropped by 5.4%.
During the first 11 months of 2024, trade with China expanded by 6.9% to RM437.4 billion compared to the same period in 2023. Exports slipped by 3.4% to RM168.31 billion attributed to lower exports of E&E products, metalliferous ores and metal scrap as well as chemicals and chemical products. Despite the contraction, strong exports were recorded for paper and pulp products, rubber products as well as machinery, equipment and parts. Imports from China climbed 14.5% to RM269.09 billion.
The US – Exports Reached a New High
In November 2024, trade with the US which contributed 12.5% to Malaysia’s total trade expanded by 33.8% y-o-y to RM29.67 billion. Exports soared to a new record high, expanding by 57.3% to RM20.3 billion and was the 11 straight months of y-o-y expansion. The increase was mainly led by higher shipments of E&E products. Imports from the US grew by 1% to RM9.37 billion.
Compared to October 2024, exports increased by 7.2%, while trade and imports decreased by 0.5% and 13.9%, respectively.
During the first 11 months of 2024, trade with the US climbed 29.5% to RM293.92 billion compared to the corresponding period in 2023. Exports remained robust, recording double-digit growth of 22.6% to RM179.71 billion attributed to higher exports of E&E products, machinery, equipment and parts as well as optical and scientific equipment. Imports from the US increased by 42.2% to RM114.21 billion.
The EU – Growth in Trade, Exports and Imports During the first 11 Months of 2024
In November 2024, trade with the EU accounted for 7.4% of Malaysia’s total trade, contracted by 3% to RM17.68 billion compared to the corresponding month last year. Exports were lower by 4.3% to RM9.36 billion owing to reduced exports of E&E products, palm oil-based manufactured products as well as petroleum products. The contraction however was softened by higher exports of machinery, equipment and parts, manufactures of plastics as well as optical and scientific equipment. Imports from the EU contracted by 1.5% to RM8.32 billion.
Within the EU, the top 10 markets which accounted for 92.4% of Malaysia’s total exports to the region were:
- Netherlands RM3.12 billion, decreased by 2.6%, y-o-y;
- Germany RM2.51 billion, ↓7.1%;
- France RM608.8 million, ↑25.2%;
- Belgium RM606.6 million, ↓31.6%
- Italy RM408.9 million, ↓34.3%;
- Spain RM389.4 million, ↓12.2%;
- Poland RM293.3 million, ↑2.4%;
- Hungary RM257.4 million, ↑14.5%;
- Czech Republic RM240.1 million, ↑42.0%; and
- Ireland RM209.7 million, ↑431.6%.
Among the major export markets in the EU that recorded expansion were France, which rose RM122.4 million y-o-y due to greater exports of manufactures of plastics and Poland, which increased by RM6.7 million attributed to higher exports of machinery, equipment and parts.
On a m-o-m basis, trade, exports and imports decreased by 8%, 11% and 4.5%, respectively.
During the first 11 months of 2024, trade with the EU increased by 5.2% to RM200 billion compared to the same period in 2023. Exports edged up by 2.6% to RM106.53 billion on account of strong exports of palm oil and palm oil-based products, rubber products and processed food. Imports from the EU expanded by 8.4% to RM93.47 billion.
Taiwan, POC – 11th Consecutive Month of Double-Digit Export Growth
In November 2024, trade with Taiwan, POC which contributed 6.2% to Malaysia’s total trade rose 45% y-o-y to RM14.77 billion. Exports surged by 70.2% to RM5.98 billion, the 11th consecutive month of double-digit expansion. This was supported by increased demand for E&E products, optical and scientific equipment as well as LNG. Imports from Taiwan, POC expanded by 31.8% to RM8.79 billion.
Compared to October 2024, exports rose 2.3% while trade and imports slipped by 1.9% and 4.6%, respectively.
During the first 11 months of 2024, trade with Taiwan, POC grew by 38% to RM158.95 billion compared to the same period in 2023. Exports soared by 53.2% to RM60.51 billion contributed by solid exports of E&E products as well as optical and scientific equipment. Imports from Taiwan, POC increased by 30% to RM98.44 billion.
Trade with FTA Partners
In November 2024, trade with Free Trade Agreement (FTA) partners which accounted for 63.9% of Malaysia’s total trade decreased by 2.4% y-o-y to RM152.1 billion. Exports to FTA partners shrank 4.6% to RM81.38 billion while imports edged up by 0.2% to RM70.72 billion.
Despite lower overall exports to FTA partners, increases in exports were recorded to the Republic of Korea which was higher by 4.1% to RM5.17 billion and exports to Canada expanded by 61.5% to RM559.8 million, buoyed by higher exports of E&E products, respectively.
Additionally, exports to India grew by 13.4% y-o-y to RM4.22 billion, contributed by rising exports of palm oil and palm oil-based agriculture products, exports to Turkiye expanded by 10.6% to RM1.7 billion following robust exports of jewellery and exports to New Zealand increased by 42.6% to RM739.9 million supported by higher exports of petroleum products.
Meanwhile, exports to Mexico grew by 21.7% to RM1.49 billion following a rise in exports of chemicals and chemical products and exports to Peru expanded by 1.2% to RM52 million fuelled by higher shipments of processed food.
On a m-o-m basis, trade, exports and imports contracted by 2.2%, 2.5% and 1.9%, respectively.
During the first 11 months of 2024, trade with FTA partners rose 4.6% to RM1.703 trillion, exports edged up by 0.7% to RM918.17 billion and imports expanded by 9.6% to RM784.5 billion, compared to the same period in 2023.
Import Performance
Total imports in November 2024 expanded by 1.6% y-o-y to RM111.28 billion. The three main categories of imports by end use, which accounted for 77.8% of total imports were:
- Intermediate goods, valued at RM63.26 billion or 56.8% of total imports, grew by 12.7% y-o-y, contributed by higher imports of parts and accessories of non transport capital goods;
- Capital goods, valued at RM13.28 billion or 11.9% of total imports, dropped by 10%, as a result of reduced imports of non-transport capital goods; and
- Consumption goods, valued at RM10.08 billion or 9.1% of total imports, increased by 3.5%, driven by higher imports of processed food and beverages mainly for household consumption.
Compared to October 2024, imports contracted by 4.3%. Meanwhile, imports of intermediate, capital and consumption goods increased by 0.8%, 7.8% and 4.6%, respectively.
During the first 11 months of 2024, imports were higher by 13.3% to RM1.252 trillion compared to the corresponding period last year. Imports of intermediate goods grew by 22.7% to RM687.94 billion, imports of capital goods expanded by 28.4% to RM149.49 billion and imports of consumption goods rose 12.9% to RM107.16 billion.
