Kuala Lumpur: Malaysia’s exports rose 15.7 per cent year-on-year (y-o-y) to RM148.32 billion in October 2025, reaching a record high driven by stronger manufacturing shipments and sustained demand for electrical and electronic (E&E) products.
In a statement, the Ministry of Investment, Trade and Industry (MITI) said total trade grew 13.6 per cent y-o-y to RM277.65 billion, while imports increased 11.2 per cent to RM129.33 billion.
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“This resulted in a trade surplus of RM18.99 billion, the 66th consecutive month of surplus since May 2020,” it said.
The ministry said all major sectors posted export growth in October, with the manufacturing sector as the primary driver after rising 15.7 per cent y-o-y to a record RM126.68 billion.
“Robust demands were recorded for E&E products as well as optical and scientific equipment, both of which also registered their highest export values to date,” MITI said.
It said the mining sector extended its positive momentum for the second straight month, supported by higher exports of metalliferous ores and metal scrap.
“Meanwhile, the agriculture sector posted steady growth, led by strong exports of palm oil and palm oil-based agriculture products,” the ministry said.
MITI said Malaysia also recorded higher exports to key trading partners, including ASEAN, China, the European Union and Taiwan.
“Exports to Free Trade Agreement (FTA) partners continued to gain momentum, with notable increases to Hong Kong SAR, Mexico, the Republic of Korea, Australia, Pakistan, Canada, Peru and the United Kingdom, while shipments to Taiwan and Hong Kong SAR reached new record highs,” it said.
For the January-October 2025 period, cumulative trade rose 5.4 per cent y-o-y to RM2.512 trillion, with exports up 6.0 per cent to RM1.319 trillion and imports expanding 4.7 per cent to RM1.194 trillion.
“A trade surplus of RM125.02 billion was recorded for the period,” MITI said.
MITI added that both the ministry and the Malaysia External Trade Development Corporation remain steadfast in supporting exporters by promoting market diversification, strengthening supply chain resilience, monitoring global trade shifts and leveraging Malaysia’s 18 FTAs.
“The Malaysia-United Arab Emirates (UAE) Comprehensive Economic Partnership Agreement (CEPA), which came into force on Oct 1, 2025, is also set to help Malaysian exporters leverage the UAE as a strategic gateway into West Asia and beyond,” it said.
Malaysia’s exports will likely sustain their expansion for the remainder of the year should electrical and electronics (E&E) demand remain resilient, according to Kenanga Investment Bank Bhd (Kenanga IB).
In a note today, the investment bank revised its 2025 export growth forecast to 6.0 per cent from 3.9 per cent, following better-than-expected trade performance in October.
“Exports have grown 6.0 per cent in the first ten months of 2025 (versus Jan-Sep: 4.8 per cent), outperforming our earlier projections. This defied expectations of weaker trade from the impact of higher United States tariffs on the global economy.
“E&E demand remained resilient amid increasing adoption of artificial intelligence (AI), 5G, and electric vehicles (EVs), firm demand from other trading partners, and new product launches, while semiconductor exports remain exempt from Donald Trump’s tariffs,” it said.
Kenanga IB opined that October’s strong export performance and still-large trade surplus point to a relatively strong start to the fourth quarter (4Q) 2025 gross domestic product (GDP).
“Nonetheless, we project 4Q 2025 GDP growth to moderate to 4.1 per cent (3Q25: 5.2 per cent), keeping a cautious view of the final month of 2025.
“This brings full-year growth to 4.5 per cent (2024: 5.1 per cent), though a steady performance in external trade may push growth towards the upper end of the Ministry of Finance’s target range of 4.0 per cent to 4.8 per cent,” it said.
Kenanaga IB said that the impact of the US tariff on the global economy may be delayed to 2026 and anticipates a slower GDP growth of 4.2 per cent next year.
“However, steady domestic demand, driven by private consumption, should continue to support the economy,” it added.
