Malaysian exports in June record a surprise drop of 3.5% on an annual basis

Malaysian exports dropped unexpectedly by 3.5% from a year ago to the lowest level since December 2023. This was due to a drop in shipments of liquefied gas, chemicals and iron and steel, as well as other metals.

According to the median forecast of economists interviewed, June's exports were expected to increase by 5.5% annually.

The Trade Ministry released a statement that stated exports to the United States, European Union, and Taiwan grew in June, but exports to China dropped by 9.3% as a result of a drop in exports for LNG, chemicals, and metals.

The Ministry also noted that exports to Asean fell by 13.8% due to a decrease in demand for electronic and electrical goods, as well as petroleum-based products.

Data from the Trade Ministry showed that imports in June increased by 1.2% compared to a year ago, which was below the polled forecast of an increase of 10%.

Malaysia's trade surplus in June was 8.6 billion Ringgit ($2.03billion), below the polled forecast of 10.8 Billion Ringgit.

(source: Reuters)