August 22, 2025 -- Malaysia’s trade performance returned to positive growth in July 2025, recording the highest monthly trade value ever, signalling the nation’s export resilience and global trade competitiveness. Trade rebounded by 3.8% year-on-year (y-o-y) to RM265.92 billion. Exports grew by 6.8% to RM140.45 billion, the highest monthly value since September 2022, reflecting sustained international demand for Malaysian goods. Imports edged up by 0.6% to RM125.47 billion, while trade surplus continued for the 63rd consecutive month, valued at RM14.98 billion for July 2025. 

Exports of electrical and electronic (E&E) products improved significantly, by nearly RM12 billion to RM63.31 billion, an increase of 22.5% year-on-year, compared to July 2024. It remained the key driver of Malaysia’s export growth, alongside optical and scientific equipment as well as processed foods. All these product categories recorded the highest export value thus far. Other contributors to export growth included machinery, equipment and parts as well as palm oil-based manufactured products. 

By destination, exports to all key trading partners namely ASEAN, China, the United States (US), Taiwan and the European Union (EU) registered positive growth, with exports to Taiwan reaching its highest value to date. Exports to Free Trade Agreement (FTA) partners also expanded, with notable increases in shipments to Mexico and the Republic of Korea (ROK), driven primarily by higher exports of E&E products. 

For the period of January to July 2025, trade, exports and imports achieved their highest cumulative value. Trade rose 4.7% to RM1.731 trillion year-on-year, with exports expanding 4.3% to RM900.47 billion and imports up by 5.1% to RM830.16 billion, resulting in a trade surplus of RM70.32 billion. 

Malaysia’s encouraging trade performance in the first seven months of 2025 comes amid a cautiously improving global trade outlook. The World Trade Organization (WTO) has revised its growth forecast for global merchandise trade volume in 2025 to 0.9%, up from its earlier projection of a 0.2% contraction. This modest recovery is largely driven by a surge in the US imports earlier in the year.  

In addition, the US Government’s decision to cut reciprocal tariffs

on Malaysian exports from 25% to 19% reflects MITI’s methodical and disciplined trade diplomacy efforts. This tariff rate, which is roughly in line with the rest of our peers in ASEAN, will continue to support our competitiveness. 

Despite global trade and US tariff headwinds, Malaysia’s steady trade performance has contributed to the expansion of the nation’s Gross Domestic Product (GDP) by 4.4% in the second quarter of 2025. MITI and MATRADE will continue to be vigilant in navigating the shifting global trade dynamics and rising geopolitical tensions. 

Export Performance of Major Sectors 

Exports of Manufactured Goods Rebounded

In July 2025, exports of manufactured goods which contributed 87% to total exports rebounded by 9% y-o-y to RM122.14 billion, due to strong exports of E&E products, machinery, equipment and parts, palm oil-based manufactured products, optical and scientific products as well as processed food. Exports of E&E products, optical and scientific products as well as processed food registered the highest value ever. 

Exports of agriculture goods (6.5% share) in July 2025 decreased by 8.6% y-o-y to RM9.19 billion following lower exports of palm oil and palm oil-based agriculture products due to lower export volumes.  

Exports of mining goods (5.7% share) in July 2025 declined by 4.3% y-o-y to RM8.06 billion. The contraction was mainly due to lower export prices of liquefied natural gas (LNG). Nonetheless, exports of metalliferous and metal scrap recorded an increase.

Major exports in July 2025:  

• E&E products, valued at RM63.31 billion which accounted for 45.1% of total exports, increased by 22.5% compared to July 2024;  
• Petroleum products, RM8.12 billion, 5.8% of total exports, ↓27.2%; • Machinery, equipment and parts, RM6.84 billion, 4.9% of total exports, ↑15.9%; 
• Palm oil and palm oil-based agriculture products, RM6.72 billion, 4.8% of total exports, ↓12.1%; and 
• Manufactures of metal, RM5.7 billion, 4.1% of total exports, ↑1%. 

On a month on month (m-o-m) basis, exports of manufactured, agriculture goods and mining goods expanded by 15.2%, 2.6% and 44.5%, respectively.  

During the first seven months of 2025, exports of manufactured goods rose 5.8% to RM778.7 billion compared to the corresponding period in 2024 led by strong exports of E&E products, machinery, equipment and parts as well as palm oil-based manufactured products. Exports of agricultural goods grew by 7.8% to RM62.38 billion supported by increased exports of palm oil and palm oil-based agricultural products. Conversely, exports of mining goods dropped 18.3% to RM52.11 billion waned by lower exports of LNG and crude petroleum.

Trade Performance with Major Markets  

In July 2025, Malaysia’s trade with major trading partners namely ASEAN, China, the US, Taiwan and the EU accounted for 70.9% share of total trade.

ASEAN – Trade and Exports Improved 

In July 2025, trade with ASEAN which took up 27.2% of Malaysia’s total trade edged up by 1.7% y-o-y to RM72.29 billion. Exports improved by 8.4% to RM43.47 billion, contributed by higher demand for E&E products. Imports from ASEAN slipped by 6.8% to RM28.83 billion.  

Breakdown of exports to ASEAN countries:

• Singapore RM25.75 billion, increased by 22.2%, y-o-y;
• Thailand RM5.80 billion, ↑4.4%; 
• Viet Nam RM4.70 billion, ↓4.7%; 
• Indonesia RM4.01 billion, ↓11.3%; 
• Philippines RM2.23 billion, ↓21.8%; 
• Cambodia RM501.7 million, ↑77.4%;  
• Brunei RM257.4 million, ↓64.5; 
• Myanmar RM200.1 million, ↑26.0%; and
• Lao PDR RM7.1 million, ↑17.6%.

Major markets in ASEAN that recorded export growth were Singapore, which expanded by RM4.68 billion y-o-y and Thailand, which rose RM245.4 million following solid exports of E&E products. Similarly, exports to Cambodia rose RM218.8 million, led by higher exports of petroleum products. Exports to Singapore and Cambodia recorded the highest value thus far.

Compared to June 2025, trade, exports and imports grew by 24.3%, 31.4% and 15%, respectively. 

For the period of January to July 2025, trade with ASEAN contracted by 1.2% to RM445.85 billion compared to the same period in 2024. Exports edged up by 0.8% to RM262.1 billion attributed to robust exports of E&E products as well as machinery, equipment and parts. Imports from ASEAN were contracted by 3.8% to RM183.75 billion.

China – Exports Picked Up

Trade with China in July 2025 increased by 6.5% y-o-y to RM44.43 billion, accounting for 16.7% of Malaysia’s total trade. Exports rebounded by 6.8% to RM15.8 billion after registering two successive months of decline, buoyed by higher exports of E&E products as well as petroleum products. Imports from China expanded by 6.3% to RM28.63 billion.  

Compared to June 2025, trade, exports and imports rose 4.1%, 6.5% and 2.8%, respectively. 

During the first seven months of 2025, trade with China expanded by 6.3% to RM293.26 billion compared to the same period in 2024. Exports were lower by 2.7% to RM102.6 billion as a result of lower exports of LNG, manufactures of metal as well as chemicals and chemical products. Amid the contraction, growing exports were seen for E&E 

products, machinery, equipment and parts as well as palm oil-based manufactured products. Imports from China climbed 11.9% to RM190.66 billion. 

The US – Trade, Exports and Import Retained Growth 

In July 2025, trade with the US which absorbed 11% of Malaysia’s total trade declined by 7.6% y-o-y to RM29.34 billion. Exports grew by 3.8% to RM18.47 billion contributed by higher exports of E&E products, manufactures of metal and rubber products. Imports from the US decreased by 22.2% to RM10.88 billion.

On a m-o-m basis, trade and exports increased by 7.4% and 13.5%, respectively while imports contracted by 1.5%. 

For the period of January to July 2025, trade with the US rose 25.2% y-o-y to RM215.96 billion. Exports expanded by 23.9% to RM130.06 billion, underpinned by solid exports of E&E products, processed food as well as machinery, equipment and parts. Imports from the US increased by 27.1% to RM85.91 billion. 

Taiwan – Exports Posted New Record High  

In July 2025, trade with Taiwan which made up 8.7% of Malaysia’s total trade recorded strong double-digit expansion of 49.9% y-o-y to RM23.06 billion. Exports surged by 46.6% to RM7.82 billion, due to higher shipments of E&E products, optical and scientific equipment as well as machinery, equipment and parts. Similarly, imports from Taiwan jumped 51.6% to RM15.24 billion. 

On a m-o-m basis, trade, exports and imports increased by 36.9%, 12%, and 54.5%, respectively. 

Trade with Taiwan recorded a 35% growth in January to July 2025 period, amounting to RM132.68 billion compared to the same period last year. Exports soared 30.1% to RM47.11 billion, propelled by strong exports of E&E products, optical and scientific equipment as well as machinery, equipment and parts. Imports from Taiwan rose 37.8% to RM85.57 billion.  

The EU – the Sixth Successive Month of Export Expansion

In July 2025, trade with the EU which comprised 7.3% of Malaysia’s total trade edged down by 2.1% y-o-y to RM19.38 billion. Exports grew by 5.7% to RM10.87 billion, the sixth successive month of expansion, fuelled by robust demand for E&E products, palm oil-based manufactured products and petroleum products. Imports from the EU fell 10.6% to RM8.52 billion. 

Within the EU, the top 10 markets which accounted for 91.1% of Malaysia’s total exports to the region were: 

• Netherlands RM3.62 billion, increased by 37.4%, y-o-y;
• Germany RM2.91 billion, ↑0.1%; 
• Italy RM758.5 million, ↓28.8%; 
• Belgium RM643.0 million, ↓1.9%; 
• France RM449.9 million, ↓19.4%; 
• Spain RM370.1 million, ↑6.8%; 
• Ireland RM367.9 million, ↑463.6%; 
• Czech Republic RM285.7 million, ↑62.5%;  
• Poland RM250.9 million, ↓29.3%; and 
• Hungary RM242.9 million, ↓57.7%. 

Exports to the Netherlands increased by RM983.6 million and exports to Germany climbed RM4.2 million, boosted by increased exports of E&E products. Meanwhile, exports to Spain grew by RM23.6 million supported by higher exports of palm oil and palm oil-based agriculture products. 

Compared to June 2025, trade, exports and imports rose 14.2%, 18.7% and 9%, respectively. 

For the period of January to July 2025, trade with the EU were down by 0.3% to RM125.52 billion compared to the same period last year. Exports increased by 5.2% to RM69.84 billion on the back of higher exports of E&E products, palm oil-based manufactured products as well as transport equipment. Imports from the EU slipped by 6.4% to RM55.68 billion. 

Trade with FTA Partners  

In July 2025, trade with FTA partners which consisted of 64.7% of Malaysia’s total trade were up by 3.4% y-o-y to RM172.14 billion. Exports to FTA partners increased by 5.4% to RM93.83 billion and imports expanded by 1.1% to RM78.31 billion. 

Increases in exports were recorded to Mexico, which climbed 48.6% to RM3.16 billion and the ROK, which expanded by 5.5% to RM5.12 billion, propelled by higher shipments of E&E products. 

Additionally, exports to Turkiye increased by 7.2% to RM1.96 billion owing to higher exports of manufactures of metal, exports to New Zealand increased by 19.3% to RM497.6 million following robust exports of petroleum products and exports to the United Kingdom rose 2.1% to RM769 million on rising exports of palm oil and palm oil based agriculture products. 

Meanwhile, exports to Pakistan were up by 4.3% to RM385.5 million contributed by strong exports of chemicals and chemical products and exports to Japan edged up by 0.2% to RM6.87 billion, due to higher exports of crude petroleum.  

Compared to June 2025, trade, exports and imports climbed 12.4%, 16.3% and 8.1%, respectively. 

Trade with FTA partners during the first seven months of 2025 edged up by 0.6% to RM1.104 trillion compared to the corresponding period in 2024. Exports decreased marginally by 0.4% to RM592.48 billion and imports expanded by 1.8% to RM511.89 billion. 

Import Performance 

Total imports in July 2025 edged up by 0.6% y-o-y to RM125.47 billion. The three main categories of imports by end use, which accounted for 68.1% of total imports were:  

• Intermediate goods, valued at RM56.82 billion or 45.3% of total imports, declined by 17.8%, due to lower imports of parts and accessories of non transport capital goods;
• Capital goods, valued at RM18.19 billion or 14.5% of total imports, increased by 20.6%, as a result of higher imports of non-transport capital goods; and
• Consumption goods, valued at RM10.43 billion or 8.3% of total imports, contracted by 5%, due to lower imports of non-durables.

Compared to June 2025, total imports rose 10.9% with imports of capital goods and consumption goods increased by 26.2% and 10.9%, respectively while imports of intermediate goods slipped by 5.8%. 

During the period of January to July 2025, total imports grew by 5.1% to RM830.16 billion compared to the same period last year. Imports of intermediate goods shrank 2.9% to RM418.84 billion, capital goods surged by 36.4% to RM125.59 billion and consumption goods edged up by 0.3% to RM68.49 billion.