FX.co ★ Malaysia Manufacturing PMI Dips to 4-Month Low

The S&P Global Malaysia Manufacturing PMI slightly decreased to 49.5 in October 2025, down from 49.8 in September. This decline marked the 17th consecutive month of contraction and represented the most significant downturn since June. The decrease was primarily due to a reduction in new orders for the first time in three months, with a notable drop in new export sales. Consequently, production output decreased at its fastest rate in five months. Employment levels were reduced once more, but companies managed to decrease their backlog of work at the highest rate since February. Additionally, manufacturers scaled back on purchasing activities and reduced inventory levels. Supplier delivery times extended for the second consecutive month due to ongoing shipping delays and material shortages. In terms of pricing, input costs continued to rise, yet companies chose to lower their selling prices for the first time in six months to boost sales. Looking forward, business confidence reached its highest level since April 2023, driven by expectations of a recovery in new orders.