Malaysia: Growth in industrial output moderates in May
July 12, 2018
Industrial production grew 3.0% year-on-year in May, down from the 4.6% increase logged in April. The result matched market expectations.
Manufacturing output decelerated, expanding 4.1% year-on-year in May compared to a 5.3% increase in the previous month. All major subsectors recorded lower production growth in May than in April. Meanwhile, although the electricity generation sector recorded a 2.6% expansion, this was markedly below April’s reading of 5.8%. Moreover, the mining sector swung into contractionary territory as output fell 0.5% in May, contrasting April’s 1.8% expansion. A steep contraction in the natural gas subsector also offset robust growth in the crude oil subsector.
Industrial production grew a seasonally-adjusted 0.2% over the prior month in May, dropping from April’s 1.5% increase. Lastly, annual average growth in industrial production was 4.2% in May, down from 4.4% in April.
Malaysia Industrial Production Forecast
FocusEconomics Consensus Forecast panelists expect industrial production to rise 3.9% in 2018, which is down 0.1 percentage points from last month’s estimate. For 2019, our panelists see industrial output growth moderating to 4.2%.
Author: Jan Lammersen, Economist