FX.co ★ Malaysia Industrial Output Growth Picks Up in August

Malaysia’s industrial production grew 5.0% year-on-year in August 2026, picking up from a 4.7% increase in July, which had been the slowest pace since March. The acceleration was largely driven by the manufacturing sector, where output rose 7.4% – a four-month high – compared with 6.4% in the previous month.

Within manufacturing, the key contributors were electrical & electronics products (up 17.0%, from 13.3% in July), petroleum, chemical, rubber & plastic products (up 2.6%, from 1.7%), and non-metallic mineral products, basic metal & fabricated metal products (up 5.7%, compared with 5.9% previously). Electricity production also strengthened, rising 9.0% year-on-year after a 5.5% increase in July.

In contrast, mining output fell more sharply, contracting 7.4% after a 3.2% decline in the prior month. The downturn reflected weaker production of crude oil and condensate (down 12.2%, versus a 13.1% drop previously) and natural gas (down 4.3%, reversing a 3.6% increase in July).

On a seasonally adjusted month-on-month basis, overall industrial production rose 0.5% in August, rebounding from a 0.1% decline in July.