Trade Performance for October 2022 and The Period of January-October 2022
Trade, Exports and Imports Surpassed 2021 Overall Value in Ten Months
Malaysia’s trade performance maintained its growth momentum in October 2022 with trade, exports and imports registering the highest monthly value for the month of October. Trade expanded by 21.1% to RM245.18 billion compared to October 2021 and was the 21st consecutive month of double-digit growth. Exports rose by 15% to RM131.63 billion, the 15th consecutive month of year-on-year (y-o-y) expansion. Imports was higher by 29.2% to RM113.54 billion while trade surplus decreased by 32% to RM18.09 billion.
The export growth was boosted mainly by higher shipments of petroleum products, electrical and electronic (E&E) products, liquefied natural gas (LNG) as well as crude petroleum. Exports of LNG registered the highest monthly value thus far. Meanwhile, exports to major trading partners notably ASEAN, China, the United States (US), the European Union (EU) and Japan recorded growth.
On a month-on-month (m-o-m) basis, imports grew by 1% while trade, exports and trade surplus contracted by 4.5%, 8.7% and 43.2%, respectively.
For the first 10 months of 2022, trade, exports and imports surpassed the value which was recorded in the year of 2021. Trade expanded by 31.6% to RM2.375 trillion 22compared to the same period of 2021 and exports increased by 28.5% to RM1.29 trillion. Imports exceeded RM1 trillion mark for the first time, rose by 35.4% to RM1.085 trillion and trade surplus grew by 1.3% to RM205.61 billion.
Export Performance of Major Sectors
Exports of Mining Goods Recorded the Highest Value
Exports of manufactured goods in October 2022 which accounted for 84.5% of total exports rose by 12.6% y-o-y to RM111.18 billion. Petroleum products and E&E products respectively posted more than RM1 billion increase in exports.
Exports of mining goods (8.5% share) surged by 85.9% y-o-y to RM11.22 billion, the highest monthly value thus far and was the 19th straight month of double-digit expansion. The increase was mainly due to higher exports of LNG and crude petroleum.
Exports of agriculture goods (6.5% share) contracted by 7% to RM8.6 billion compared to October 2021 on account of lower exports of palm oil and palm oil-based agriculture products as well as natural rubber.
Major exports in October 2022:
• E&E products, valued at RM50.01 billion and accounted for 38% of total exports, increased by 19% from October 2021;
• Petroleum products, RM18.15 billion, 13.8% of total exports, surged by 80.9%;
• LNG, RM7.26 billion, 5.5% of total exports, surged by 127.8%;
• Chemicals and chemical products, RM6.63 billion, 5% of total exports, increased by 0.3%; and
• Palm oil and palm oil-based agriculture products, RM6.59 billion, 5% of total exports, decreased by 10.4%.
Compared to September 2022, exports of mining goods rose by 1.1% while exports of manufactured and agriculture goods contracted by 9% and 17.8%, respectively.
For the period of January to October 2022, almost all products recorded export growth. Exports of manufactured goods breached overall value registered in 2021, expanding by 25.3% to RM1.087 trillion compared to the same period last year. This was attributed to higher exports of E&E products, petroleum products, machinery, equipment and parts, palm oil-based manufactured products as well as chemicals and chemical products.
Exports of agriculture goods rose by 31.1% to RM101.01 billion, exceeding overall value posted last year. The growth was driven by higher exports of palm oil and palm oil-based agriculture products.
Exports of mining goods soared by 73.2% to RM96.91 billion and superseded overall value recorded last year. The expansion was boosted by higher exports of LNG and crude petroleum.
Trade Performance with Major Markets
ASEAN – Trade, Exports and Imports Rose with Double Digit Growth
In October 2022, trade with ASEAN contributed 25.8% to Malaysia’s total trade, expanding by 20.5% y-o-y to RM63.35 billion. Exports increased by 25.3% to RM38.79 billion, the 15th consecutive month of double-digit growth. This was boosted by higher exports of petroleum products and E&E products. Imports from ASEAN rose by 13.6% to RM24.56 billion.
Breakdown of exports to ASEAN countries:
• Singapore RM19.45 billion, increased by 26.4%;
• Thailand RM5.90 billion, ↑21.6%;• Viet Nam RM5.04 billion, ↑18.5%;
• Indonesia RM4.99 billion, ↑28.8%;
• Philippines RM2.16 billion, ↑15.5%;
• Brunei RM781.5 million, ↑176.1%;
• Myanmar RM250.3 million, ↑5.5%;
• Cambodia RM215.3 million, ↑4.4%; and
• Lao PDR RM7.6 million, ↑153%.
Exports to all markets recorded growth notably Singapore which grew by RM4.07 billion, Indonesia (↑RM1.11 billion) and the Philippines (↑RM290.2 million) due to strong exports of petroleum products. Meanwhile, exports to Thailand expanded by RM1.05 billion led by robust exports of LNG and Viet Nam (↑RM785.5 million, E&E products).
Compared to September 2022, trade, exports and imports edged down by 6.6%, 2.9% and 11.9%, respectively.
In the first 10 months of 2022, trade with ASEAN climbed by 39.8% to RM645.88 billion compared to the same period of 2021. Exports to this region increased by 36% to RM376.13 billion driven by strong exports of E&E products, petroleum products, crude petroleum as well as machinery, equipment and parts. Imports from ASEAN expanded by 45.4% to RM269.75 billion.
China – E&E Products Bolstered Export Expansion
In October 2022, trade with China which represented 16.9% of Malaysia’s total trade grew by 13.1% y-o-y to RM41.54 billion, the 23rd consecutive month of double-digit growth. Exports to China recorded a growth of 4.3% to RM18.42 billion on the back of robust exports of E&E products. Imports from China rose by 21.2% to RM23.13 billion.
Compared to September 2022, trade, exports and imports declined by 5.3%, 8.3% and 2.8%, respectively.
Trade with China during the first 10 months of 2022 increased by 17.9% to RM402.08 billion compared to the same period of 2021. Exports edged up by 12.3% to RM173.86 billion on higher exports of E&E products, LNG as well as palm oil and palm oil-based agriculture products. Imports from China climbed by 22.6% to RM228.22 billion.
The US – Trade Registered 14 Straight Months of Double-Digit Expansion
Trade with the US in October 2022 which made up 9.8% of Malaysia’s total trade rose by 20.3% y-o-y to RM23.98 billion, the 14th straight month of double-digit expansion. Exports grew by 8.8% to RM13.73 billion on account of strong exports of E&E products. Imports from the US expanded by 40.4% to RM10.24 billion.
On a m-o-m basis, trade, exports and imports decreased by 10.3%, 15.8% and 1.6%, respectively.
For the period of January to October 2022, trade with the US edged up by 26.5% to RM222.71 billion compared to the same period of 2021. Exports rose by 19.7% to RM137.55 billion buoyed by robust exports of E&E products, iron and steel products, petroleum products as well as optical and scientific equipment. Imports from the US grew by 39.1% to RM85.15 billion.
The EU – Trade, Exports and Imports Maintained Positive Growth
Trade with the EU which comprised 7.1% of Malaysia’s total trade in October 2022 grew by 8.8% y-o-y to RM17.41 billion. Exports rose by 7% to RM9.7 billion supported by strong exports of iron and steel products, petroleum products and manufactures of metal. Imports from the EU expanded by 11.1% to RM7.71 billion.
Breakdown of exports to the top 10 EU markets which accounted for 91.2% of Malaysia’s total exports to the EU were:
• Netherlands RM3.05 billion, increased by 19.8%;
• Germany RM2.36 billion, ↓12.6%;
• Belgium RM1.10 billion, ↑66.8%;
• France RM616.2 million, ↑51.4%;
• Spain RM511.2 million, ↑56.3%;
• Italy RM289.5 million, ↓39.7%;
• Czech Republic RM289.3 million, ↓26.2%;
• Poland RM263.2 million, ↑4.1%;
• Romania RM204.8 million, ↑278.8%; and
• Sweden RM156.5 million, ↑15.7%.
Exports to the EU major markets that grew were the Netherlands which increased by RM504.4 million and Belgium (↑RM440.7 million) due to higher demand for iron and steel products. Meanwhile, exports to France edged up by RM209.2 million on strong exports of petroleum products.
On a m-o-m basis, imports increased by 1.3% while trade and exports contracted by 4.3% and 8.3%, respectively.
During the first 10 months of 2022, trade with the EU was up by 20.7% to RM177.49 billion compared to the same period of 2021. Exports rose by 22.6% to RM103.69 billion, aided by higher exports of E&E products, manufactures of metal and petroleum products. Imports from the EU increased by 18.1% to RM73.8 billion.
Japan – Double-Digit Export Expansion for 20 Successive Months
In October 2022, trade with Japan which accounted for 6.5% of Malaysia’s total trade rose by 21.8% y-o-y to RM15.92 billion. Exports grew by 25.7% to RM8.57 billion, the 20th successive month of double-digit expansion. The growth was underpinned by higher exports of LNG, crude petroleum and E&E products. Imports from Japan climbed by 17.6% to RM7.35 billion.
Compared to September 2022, imports increased by 3.6% while trade and exports contracted by 6.4% and 13.5%, respectively.
For the period of January to October 2022, trade with Japan increased by 23.2% to RM150.93 billion compared to the same period of 2021. Exports edged up by 31.1% to RM81.44 billion buoyed by higher exports of LNG, crude petroleum, palm oil and palm oil-based agriculture products as well as petroleum products. Imports from Japan rose by 15% to RM69.49 billion.
Trade with FTA Partners
In October 2022, trade with Free Trade Agreement (FTA) partners which constituted 64.5% of Malaysia’s total trade increased by 18.2% y-o-y to RM158.05 billion. Exports to FTA partners rose by 17.7% to RM89.16 billion and imports grew by 18.8% to RM68.89 billion.
Increases in exports were recorded to Australia which grew by 37.1% to RM5.07 billion and New Zealand (↑32.9% to RM709.7 million) contributed by strong exports of petroleum products. Meanwhile, exports to the Republic of Korea, rose by 63.1% to RM4.78 billion buoyed by robust exports of LNG and Hong Kong SAR, (↑18.5% to RM7.36 billion, iron and steel products).
Compared to September 2022, trade, exports and imports decreased by 6.5%, 8.4% and 3.9%, respectively.
Trade with FTA partners during the first 10 months of 2022 which made up 66% of Malaysia’s total trade rose by 30.4% to RM1.568 trillion compared to the same period of 2021. Exports increased by 29.4% to RM867.89 billion and imports edged up by 31.6% to RM700.51 billion.
Import Performance
Total imports in October 2022 grew by 29.2% y-o-y to RM113.54 billion. The three main categories of imports by end use which accounted for 71.3% of total imports were:
• Intermediate goods, valued at RM60.64 billion or 53.4% of total imports, increased by 26.3%, following higher imports of primary fuel and lubricants;
• Capital goods, valued at RM11.77 billion or 10.4% of total imports, grew by 42.1%, due to strong imports of industrial transport equipment; and
• Consumption goods, valued at RM8.53 billion or 7.5% of total imports, rose by 21.6%, as a result of higher imports of processed food and beverages mainly for household consumption.
During the period of January to October 2022, imports expanded by 35.4% to RM1.085 trillion from the same period of 2021. Imports of intermediate goods grew by 34.5% to RM591.58 billion, capital goods (↑19.6% to RM100.63 billion) and consumption goods (↑25% to RM85.28 billion).
