June 2026 Trade Performance

Resilient E&E Performance Strengthens Trade Momentum in 1H 2026, Supporting a Positive Outlook for the Year 

Malaysia’s trade performance remained on a strong footing in the first half (1H) of 2026, reflecting the resilience of the external sector amid geopolitical uncertainties, logistics volatility and uneven demand conditions. During 1H 2026, trade expanded by 22.4% year-on-year (y-o-y) to RM1.796 trillion, with exports rising 27.5% to RM971.59 billion and imports expanding by 16.9% to RM824.44 billion, resulting in a trade surplus of RM147.15 billion. Trade, exports, imports and trade surplus registered their highest values ever recorded for January to June period, supported by Malaysia’s deep integration into regional and global supply chains.

Export expansion during 1H 2026 was driven by Malaysia’s strength of manufactured exports, particularly electrical and electronic (E&E) products, with export value increasing by almost RM140 billion, attributed to sustained global demand, technological advancements and continued adoption of digital technologies across major markets. Other manufactured goods that performed well were petroleum products, optical and scientific equipment as well as manufactures of metal. Mining goods also contributed positively, particularly metalliferous ores and metal scrap as well as liquefied natural gas (LNG).  

From a market perspective, export growth was underpinned by robust demand from major trading partners, namely ASEAN, the People's Republic of China (China), the United States (US), Taiwan and the European Union (EU), all of which recorded remarkable growth. Exports to Free Trade Agreement (FTA) partners also expanded strongly across a diverse range of products, with higher shipments to key markets including Hong Kong SAR, the Republic of Korea (ROK), Mexico, India, Australia, the United Kingdom (UK), Japan, Pakistan, Canada and New Zealand. 

Robust performance in June 2026 reinforced the positive momentum established throughout the first half of the year, with trade reaching an all-time monthly high. Trade expanded by 44.7% y-o-y to RM340.89 billion, boosted by double-digit growth in both exports and imports. Exports expanded by 45.4% to RM177.89 billion, while imports rose 43.9% to RM163.00 billion, resulting in a trade surplus of RM14.89 billion, the 74th consecutive month of surplus since May 2020.  

Malaysia’s stronger trade performance was also reflected in its improved global competitiveness standing. In the IMD World Competitiveness Ranking 2026, Malaysia climbed eight positions to the 15th place, underscored by improved performance across key pillars such as economic performance, government and business efficiency. This reinforced the nation’s attractiveness as a trade and investment destination amid an increasingly challenging global environment. 

While downside risks remain from prolonged geopolitical tensions, Malaysia’s trade has thus far demonstrated resilience. Based on the strong performance in 1H 2026, several key export products and markets are poised to achieve new record highs for the full year, driven by continued strength in E&E products and robust demand from major trading partners. Going forward, continued efforts to leverage existing FTAs, diversify export destinations and strengthen higher value-added export will be crucial in sustaining momentum and reinforcing Malaysia’s trade resilience.

Export Performance of Major Sectors 

Major Manufactured Exports Recorded Double-Digit Growth 

In June 2026, exports of manufactured goods which accounted for 88.4% of total exports rose 47.3% to RM157.22 billion owing to robust exports of E&E products, petroleum products as well as optical and scientific equipment.  

Exports of mining goods (6.2% share) surged by 97.5% y-o-y to RM11.04 billion attributed to increased exports of LNG and crude petroleum, due to higher export volumes and prices. 

Nevertheless, exports of agriculture goods (4.7% share) contracted by 7.2% to RM8.31 billion, due to lower export value of palm oil and palm oil-based agriculture products following reduced export volumes. 

Major exports in June 2026: 

• E&E products, valued at RM85.31 billion and accounted for 48.0% of total exports, increased by 56.9% compared with June 2025;
• Petroleum products, RM13.04 billion, 7.3% of total exports, ↑55.6%; 
• Machinery, equipment and parts, RM7.78 billion, 4.4% of total exports, ↑18.7%;
• Optical and scientific equipment, RM7.27 billion, 4.1% of total exports, ↑42.7%; and
• Manufactures of metal, RM6.36 billion, 3.6% of total exports, ↑48.5%. 

On a month-on-month (m-o-m) basis, exports of mining and agriculture goods expanded by 37.8% and 10.1%, respectively while exports of manufactured goods fell 5.7%.

For 1H 2026, exports of manufactured goods soared by 30.5% to RM858.97 billion compared to 1H 2025, buoyed by increased exports of E&E products, petroleum products as well as optical and scientific equipment. Exports of mining goods rose 24.5% to RM54.84 billion led by higher shipments of metalliferous ores and metal scrap as well as LNG. Exports of agriculture goods, however slipped by 8.9% to RM48.44 billion attributed to lower export value of palm oil and palm oil-based agriculture products as well as natural rubber. 

Trade Performance with Major Markets 

In June 2026, Malaysia’s trade with major trading partners namely ASEAN, China, the US, Taiwan and the EU, accounted for 72.7% share of total trade. 

ASEAN –Trade, Exports and Imports Posted Double-Digit Growth 

In June 2026, trade with ASEAN which contributed 26.0% to Malaysia’s total trade was up by 51.9% y-o-y to RM88.48 billion. Exports recorded double-digit growth for the third consecutive month, expanding by 46.3% to RM48.49 billion on strong exports of E&E products and petroleum products. Imports from ASEAN rose 59.3% to RM39.98 billion. 

Breakdown of exports to ASEAN countries:  

• Singapore      - RM25.11 billion, were up by 47.6%, y-o-y; 
• Thailand        -  RM7.40 billion, ↑52.2%; 
• Viet Nam       -  RM6.35 billion, ↑43.9%;
• Indonesia      -  RM6.07 billion, ↑53.4%;
• Philippines    - RM2.29 billion, ↑7.1%; 
• Myanmar      -  RM730.4 million, ↑267.2%; 
• Cambodia     -  RM315.2 million, ↑12.4%; 
• Brunei           -  RM223.6 million, ↓21.8%; 
• Timor-Leste  - RM4.9 million, ↑58.2%; and
• Lao PDR      -  RM4.5 million, ↑3.0%. 

Exports to all ASEAN markets recorded growth except Brunei. Exports to Singapore, Thailand and Viet Nam increased by RM8.09 billion, RM2.54 billion and RM1.94 billion, respectively, driven mainly by higher exports of E&E products. 

On a m-o-m basis, trade, exports and imports climbed 7.8%, 0.1% and 18.8%, respectively. 

For 1H 2026, trade with ASEAN grew by 21.5% to RM454.45 billion compared with the corresponding period in 2025. Exports to the region expanded by 18.6% to RM259.60 billion following higher exports of E&E products, petroleum products, optical and scientific equipment as well as machinery, equipment and parts. Imports from ASEAN rose 25.6% to RM194.84 billion.

China – Exports Extended Growth to Six Consecutive Months 

In June 2026, trade with China which represented 18.8% of Malaysia’s total trade surged by 49.4% y-o-y to RM63.96 billion, the 10th successive month of  double-digit expansion. Exports continued their upward trajectory for the sixth consecutive month, growing by 36.1% to RM20.30 billion, attributed to robust exports of LNG, E&E products, as well as metalliferous ores and metal scrap. Imports from China increased by 56.6% to RM43.67 billion.

Compared with May 2026, trade, exports and imports were higher by 7.2%, 5.6% and 7.9%, respectively. 

For 1H 2026, trade with China rose 30.6% to RM325.27 billion compared with the same period in 2025. Exports grew by 23.3% to RM107.28 billion boosted by increased demand for E&E products, metalliferous ores and metal scrap, LNG as well as palm oilbased manufactured products. Imports from China expanded by 34.5% to RM217.99 billion. 

The US – Exports More than Doubled from a Year Ago 

Trade with the US in June 2026 which took up 14.7% of Malaysia’s total trade, climbed 80.6% y-o-y to RM50.00 billion. Exports more than doubled from a year ago, rising by 108.6% to RM34.71 billion, driven by higher exports of E&E products. Imports from the US picked up by 38.4% to RM15.29 billion. 

Compared with May 2026, trade and imports increased by 4.5% and 40.2%, respectively while exports shrank 6.0%. 

During the first six months of 2026, trade with the US rose 25.7% to RM235.19 billion compared with the corresponding period in 2025. Exports increased by 54.8% to RM173.37 billion, owing to rising demand for E&E products, optical and scientific equipment as well as manufactures of metal. Imports from the US declined by 17.6% to RM61.82 billion. 

Taiwan – Double-Digit Trade, Export and Import Growth

In June 2026, trade with Taiwan which absorbed 6.9% of Malaysia’s total trade soared by 39.1% to RM23.45 billion compared with June 2025. Exports jumped 44.7% to RM10.10 billion, led by robust exports of E&E products as well as optical and scientific equipment. Imports from Taiwan were up by 35.1% to RM13.35 billion. 

Compared with May 2026, trade, exports and imports fell 19.0%, 25.0% and 13.7% respectively. 

For 1H 2026, trade with Taiwan was higher by 34.7% to RM147.75 billion compared with 1H 2025. Exports surged by 66.5% to RM65.44 billion, supported by higher exports of E&E products, optical and scientific equipment as well as machinery, equipment and parts. Imports from Taiwan rose 17.0% to RM82.31 billion. 

The EU – Trade, Exports and Imports Remained Resilient 

In June 2026, trade with the EU which comprised 6.4% of Malaysia’s total trade increased by 28.9% y-o-y to RM21.94 billion. Exports expanded by 29.7% to RM11.93 billion, backed by rising shipments of E&E products, petroleum products, palm oil-based manufactured products as well as manufactures of metal. Imports from the EU grew by 28.0% to RM10.01 billion. 

Within the EU, the top 10 markets which accounted for 93.8% of Malaysia’s total exports to the region were: 

•  Netherlands          -   RM4.83 billion, increased by 52.4%, y-o-y; 
• Germany               -   RM2.34 billion, ↓4.5%; 
• France                  -    RM634.6 million, ↑65.3%; 
• Ireland                  -    RM608.5 million, ↑599.0%; 
• Italy                      -     RM593.0 million, ↑0.8%; 
• Poland                 -      RM505.7 million, ↑89.0%; 
• Belgium               -      RM493.3 million, ↑7.5%; 
• Czech Republic   -     RM442.9 million, ↑13.6%; 
• Spain                   -     RM435.1 million, ↑48.5%; and 
• Hungary               -     RM313.4 million, ↑12.2%.

Exports to all top 10 EU markets increased except Germany. Among the major export markets that recorded growth were the Netherlands which increased by RM1.66 billion, France RM250.6 million and Ireland RM521.5 million, all contributed by higher shipments of E&E products.  

On a m-o-m basis, imports climbed 3.9%, while trade and exports declined by 11.1% and 20.7% respectively.  

For 1H 2026, trade with the EU grew by 21.0% to RM128.57 billion compared with the same period in 2025. Exports rose 28.4% to RM75.85 billion led by higher demand for E&E products, petroleum products as well as metalliferous ores and metal scrap. Imports from the EU expanded by 11.8% to RM52.72 billion. 

Trade with FTA Partners    

In June 2026, trade with FTA partners which constituted 66.5% of Malaysia’s total trade surged by 44.3% y-o-y to RM226.86 billion. Exports to FTA partners grew by 38.4% to RM114.05 billion while imports expanded by 50.8% to RM112.80 billion.  

Markets that recorded export growth were Hong Kong SAR, which increased by 25.4% y-o-y to RM10.05 billion, Japan which soared by 45.9% to RM8.33 billion, India which rose 20.5% to RM5.17 billion, Mexico which surged by 59.1% to RM5.11 billion, the UK which grew by 77.4% to RM1.11 billion and Canada which expanded by 44.1% to RM614.6 million, aided by higher exports of E&E products. 

Meanwhile, exports to Australia grew by 21.2% to RM4.84 billion and exports to New Zealand jumped 49.2% to RM741.9 million, attributed to higher shipments of petroleum products. 

Additionally, exports to the ROK increased by 42.8% to RM6.14 billion contributed by higher demand for optical and scientific equipment, exports to Pakistan climbed 21.9% to RM484.0 million, due to higher exports of manufactures of metal while exports to Peru rose 0.6% to RM44.3 million, following higher exports of textiles, apparels and footwear. 

On a m-o-m basis, trade, exports and imports rose 7.9%, 1.7% and 15.1%, respectively. 

For 1H 2026, trade with FTA partners expanded by 24.0% to RM1.183 trillion, exports increased by 21.5% to RM616.55 billion and imports rose 27.0% to RM566.32 billion compared with the same period in 2025. 

Import Performance  

Total imports in June 2026 increased by 43.9% y-o-y to RM163.00 billion. The three main categories of imports by end use, which accounted for 74.0% of total imports were:  

• Intermediate goods, valued at RM85.37 billion or 52.4% of total imports, increased by 41.3% y-o-y, as a result of higher imports of parts and accessories of non-transport capital goods;
• Capital goods, valued at RM24.17 billion or 14.8% of total imports, surged by 67.4%, attributed to higher imports of non-transport capital goods; and
• Consumption goods, valued at RM11.02 billion or 6.8% of total imports, rose 17.2%, due to increased imports of non-durables. 

Compared with May 2026, imports grew by 13.2%. Imports of intermediate, capital and consumption goods expanded by 13.9%, 30.1% and 11.7%, respectively. 

For 1H 2026, imports expanded by 16.9% to RM824.44 billion compared with the same period last year. Imports of intermediate goods climbed 5.8% to RM383.01 billion, capital goods rose 1.5% to RM109.20 billion and consumption goods increased by 4.3% to RM60.57 billion.