MALAYSIA EXTERNAL TRADE STATISTICS TRADE PERFORMANCE MALAYSIA EXTERNAL TRADE STATISTICS TRADE PERFORMANCE

MINISTEROFINTERNATIONALTRADEANDINDUSTRY

MALAYSIA

Embargo until 1000 hours, Friday, 5th February 2016

MALAYSIA EXTERNAL TRADE STATISTICS

TRADE PERFORMANCE FOR THE YEAR OF 2015 AND

THE MONTH OF DECEMBER 2015 #

Minister of International Trade and Industry Malaysia

Higher Trade Surplus of RM94.29 Billion in 2015

Malaysia’s total trade for 2015 grew by 1.2% to reach RM1.466 trillion, compared to

RM1.448 trillion in the previous year. This was supported by stronger growth of 5.1%

in the second half (H2) of 2015 following a negative growth of 2.8% in the first half

(H1). This was the 9th year that trade had exceeded RM1 trillion.

The increase was contributed by higher trade with the People’s Republic of China

(PRC), which increased by RM23.09 billion, ASEAN (↑RM12.38 billion), the United

States of America (USA) (↑RM12.22 billion), the European Union (EU) (↑RM4.52

billion), Turkey (↑RM2.48 billion), India (↑RM1.59 billion), Switzerland (↑RM1.46

billion), Taiwan (↑RM1.29 billion) and Mexico (↑RM1.15 billion).

Exports grew by 1.9% despite the challenging economic environment, to reach a

value of RM779.95 billion. Exports during H2 2015 were resilient and turned around

sharply to record a 6.8% growth from -3.1% recorded in H1 2015.

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February 2016

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Imports increased by RM2.71 billion, a marginal growth of 0.4% to RM685.65 billion.

Faster growth of exports in 2015 resulted in a higher trade surplus of RM94.29 billion,

representing Malaysia’s achievement of 18th consecutive year of trade surplus. The

trade surplus registered a double-digit growth of 14.3%.

Major contributors to better export performance in 2015 were:

 Manufactured goods which grew by 6.5%, offsetting the downturn in exports of

commodities;

 Continued growth for electrical and electronics (E&E) exports driven by

demand for new applications of internet of things (IoT) for wireless

communications and wearable devices;

 Robust export growth registered to major trading partners:

 the USA, ↑14.4% or RM9.26 billion;

 the PRC, ↑10% or RM9.24 billion; and

 the EU, ↑8.4% or RM6.09 billion.

 Exports to ASEAN increased by 2.8% with strong uptake by Thailand, Vietnam

and the Philippines;

 Higher exports to Free Trade Agreements (FTA) partners; the PRC, Turkey,

Chile and Pakistan; and

 Higher uptake from Africa by 5.9%.

Performance of Major Markets

ASEAN Remained as the Leading Regional Trading Partner and Export Destination

ASEAN, which accounted for 27.4% of Malaysia’s total trade in 2015, with a value of

RM401.42 billion, recording an increase of 3.2%. Growing trading activities propelled

by more inter-company linkages, cross-border investments, outsourcing activities

within the region. Exports to ASEAN increased by 2.8% to RM219.29 billion. ASEAN’s

share of Malaysia’s total exports expanded from 27.9% in year 2014 to 28.1%.

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Higher exports were registered to:

 Thailand, increased by RM4.22 billion or 10.5%;

 Vietnam, ↑RM3.05 billion or 21.3%;

 Philippines, ↑RM1.14 billion or 9.4%;

 Myanmar, ↑RM430.8 million or 16.4%; and

 Cambodia, ↑RM122.3 million or 15.4%.

Increase in exports to ASEAN was contributed mainly by higher exports of electronic

integrated circuits; crude petroleum, machinery, appliances and parts (parts for civil

engineering and contractors' plant and equipment), chemicals and chemical products

(polymer of ethylene), processed food, manufactures of metal (structures of iron, steel

or aluminium), optical and scientific equipment (parts and accessories for surveying,

hydrographic, oceanographic, meteorological or geophysical instruments and

appliances), jewellery as well as, manufactures of plastics.

Exports to Thailand expanded to RM44.42 billion attributed mainly to higher exports

of crude petroleum, E&E products, chemicals and chemical products as well as,

machinery, appliances and parts. Increased exports to Vietnam to RM17.4 billion

were contributed by higher exports of machinery, appliances and parts, petroleum

products (refined petroleum products), chemicals and chemical products as well as,

E&E products. Exports to the Philippines grew to RM13.18 billion, benefiting from

higher exports of E&E products, palm oil and palm-based products as well as,

machinery, appliances and parts.

Singapore remained the largest export market with a share of 49.5% of total exports

to ASEAN. Exports to Singapore declined by RM262.1 million or 0.2% due to lower

exports of petroleum products. Higher exports to Singapore however were recorded

for E&E products, machinery, appliances and parts, crude petroleum as well as,

optical and scientific equipment (spectrometers and spectrophotometers using optical

radiation and electrical operated).

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Imports from ASEAN increased by 3.7% to RM182.12 billion and main imports were

E&E products, petroleum products, chemicals and chemical products, as well as,

machinery, appliances and parts.

The PRC – No. 1 Trading Partner as a Single Country

The PRC remained as Malaysia’s largest trading partner for the 7th consecutive year

since 2009. In 2015, Malaysia’s trade with the PRC expanded by 11.1% to RM230.89

billion.

Exports to the PRC recorded a double-digit growth of 10% to RM101.53 billion despite

slower economic growth in the PRC. Higher exports were registered for manufactured

goods amounting to RM82.26 billion, an increase of 10.2%, accounting for 81% of

Malaysia’s total exports to the PRC. Export products that contributed to the increases

were petroleum products, manufactures of metal (nickel not alloyed), chemicals and

chemical products (polymer of ethylene) as well as, optical and scientific equipment

(instruments and apparatus for measuring or checking semiconductor devices).

Exports of E&E products accounted for 42.6% of Malaysia’s total exports to the PRC

in 2015. Exports increased by RM142 million to RM43.22 billion, attributed mainly to

electronic integrated circuits; parts for electrical machinery apparatus; apparatus for

transmission or reception of voice, images and other data as well as, storage unit for

computers.

Exports of mining goods to the PRC increased by 53.6% to RM9.6 billion in 2015

contributed mainly by significant increase in exports of aluminium ores, by RM2.38

billion.

The PRC remained as Malaysia’s largest import source with 18.9% share of total

imports in 2015. Imports expanded by 12% to RM129.36 billion with higher imports

recorded for apparel and clothing accessories, machinery, appliances and parts as

well as, transport equipment.

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Steady Growth of Exports to the EU

Trade with the EU increased by 3.1% to RM148.52 billion as economic activities

began to pick up in the region. Malaysia’s exports to the EU were seen higher with a

growth of 8.4% or RM6.09 billion to RM78.92 billion. The EU accounted for a higher

share of Malaysia’s total exports at 10.1% from 9.5% in 2014. The Netherlands,

Germany, the United Kingdom, France and Belgium remained the top 5 export

destinations in the region.

Among the EU top 10 markets, 8 registered growth in exports, namely, Germany

which increased by 10%, the United Kingdom (↑17.6%), France (↑11%), Belgium

(↑15.3%), Italy (↑23.1%), Spain (↑30.4%), Sweden (↑24.7%) and the Czech Republic

(↑9.7%).

The main driver for the increase in exports to the EU was E&E products, primarily

parts and accessories for office machines as well as, computers and data processing

equipment. Exports of E&E products to the EU increased by 10.4% or RM3.73 billion.

Other exports that registered increases to the EU were rubber gloves, machinery,

appliances and parts (pumps, compressors, fans, centrifuges and parts), transport

equipment (aircraft parts), optical and scientific equipment (instruments and

appliances used in medical, surgical, dental or veterinary sciences), manufactures of

metal, petroleum products, apparel and clothing accessories as well as, iron and steel

products.

Imports from the EU declined by 2.2% to RM69.59 billion and main import products

were E&E products, machinery, appliances and parts as well as, transport equipment.

The USA – Two Consecutive Years of Double Digit Growth in Exports

Malaysia maintained strong export performance to the USA with double digit growth

of 14.4% to RM73.67 billion. This performance was driven by higher purchasing power

in the USA, increased domestic demand as well as appreciation of the US currency.

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