Malaysia: Merchandise exports rise at a milder rate in October

Merchandise exports climbed 2.0% year-on-year in October, following September’s 19.3% upturn. October’s outturn marked the softest expansion since October 2020. Meanwhile, merchandise imports jumped 14.6% in annual terms in October (September: +22.0% yoy), marking the weakest result since February 2022.

As a result, the merchandise trade balance deteriorated from the previous month, recording a USD 3.9 billion surplus in October (September 2022: USD 7.0 billion surplus; October 2021: USD 6.4 billion surplus). Lastly, the trend pointed down, with the 12-month trailing merchandise trade balance recording a USD 59.2 billion surplus in October, compared to the USD 61.7 billion surplus in September.

FocusEconomics Consensus Forecast panelists project merchandise exports to fall 1.3% and imports to increase 0.5% in 2023, with the trade surplus at USD 51.2 billion.