FX.co ★ Malaysia Industrial Output at Over 1-Year Low

In February 2025, Malaysia's industrial production experienced a 1.5% increase compared to the same month the previous year, a slowdown from the 2.1% growth rate observed in January. This represented the most modest growth in industrial activity since the downturn in December 2023. There was a noticeable acceleration in the rate of decline for the mining and quarrying sector, which fell by 8.9%, compared to a 3.1% drop in January. The electricity sector also experienced a steeper decline, contracting by 2.8% following a slight 0.2% decrease previously. Conversely, the manufacturing sector saw growth, with output rising by 4.8% from January’s 3.7%. This increase was largely driven by significant growth in the manufacturing of computers, electronic, and optical products (8.4%), vegetable and animal oils and fats (17.7%), and chemicals and chemical products (5.7%). Adjusting for seasonal variation, industrial production decreased by 0.3% on a monthly basis in February 2025, negating the 0.2% increase recorded in the preceding month.