Malaysia’s total trade shrinks 3.6% to RM1.8 trillion

KUALA LUMPUR – Malaysia’s total trade in 2020 amounted to RM1.8 trillion, down 3.6% year-on-year (y-o-y), while trade surplus widened by 26.9% to RM184.8 billion, making it the largest trade surplus ever recorded thus far, the Statistics Department said.

Chief statistician Datuk Seri Mohd Uzir Mahidin said in tandem with softer global demand and unfavourable external economic conditions due to the Covid-19 pandemic, total exports last year contracted by 1.4% to RM981.0 billion from the preceding year, while imports declined by 6.3% or RM53.2 billion to RM796.2 billion.

He said December recorded the highest monthly export value of RM95.7 billion, up by 10.8% from the same month in 2019, outpacing import growth for eight consecutive months.

Uzir said after nine consecutive months of decline, imports rebounded to post a growth of 1.6% to RM75.0 billion.

“Malaysia’s exports continued its positive momentum in December 2020. The expansion in exports was supported by both re-exports and domestic exports.

“Re-exports stood at RM17.6 billion, up 22.9%, and contributed 18.4% to the total exports, while domestic export was valued at RM78.1 billion, recording a growth of 8.3% y-o-y,” he said in a statement today.

The trade surplus soared by 64.9% to RM20.7 billion y-o- y, he added.

Uzir said Malaysia's export expansion was supported mainly by higher export to Singapore (+RM2.2 billion), China (+RM1.9 billion), the US (+RM1.7 billion), India (+RM1.62 billion), Hong Kong (+RM1.60 billion), and the European Union (+RM988.1 million).

The main products contributing to the increase in exports were electrical and electronics products (+RM5.6 billion), rubber products (+RM3.0 billion), and palm oil and palm oil-based agriculture products (+RM2.6 billion).

Meanwhile, increases in imports were mainly from China (+RM2.1 billion), India (+RM772.9 million), Hong Kong (+RM518.7 million) and Taiwan (+RM466.0 million).

The expansion in imports was noted for electrical and electronics products (+RM2.7 billion) and chemical and chemical products (+RM734.7 million). – Bernama, January 29, 2021