Exports grew 14% to RM84.2 billion in April 2018 from a year ago, driven by electrical and electronic (E&E) products, refined petroleum, crude petroleum, timber and timber-based products, palm oil and palm oil-based products, while liquefied natural gas (LNG) and natural rubber recorded decreases in export volume and average unit value.
This is the second highest monthly export value recorded for the year after March’s exports of RM84.5 billion.
Imports expanded by 9.1% from a year ago to RM71.2 billion, supported mainly by capital goods, as intermediate goods and consumption goods imports fell.
Malaysia’s total trade grew 11.7% from a year ago to RM155.4 billion in April, bringing the total trade balance to a surplus of RM13.1 billion (50.9%), according to the Statistics Department.
FXTM global head of currency strategy & market research Jameel Ahmad said the annualised 14% growth in exports for April will certainly help provide positive momentum for the country’s second quarter gross domestic product (GDP), which is expected to continue growing above 5%.
He noted that this will take away some concerns in the manufacturing sector which experienced the biggest decline in new orders since late 2016 and reduce risks, which could weigh down GDP prospects.
Re-exports were valued at RM20.1 billion (+84.3%) in April and accounted for 23.9% of total exports. Domestic exports increased RM1.2 billion (1.8%) to RM64.1 billion.
On a month-on-month (m-o-m) basis, Malaysia’s total trade in April saw an increase of RM1.2 billion or 0.8% from March, while the trade surplus stood 11% or RM1.6 billion, lower.
Meanwhile, on a m-o-m basis, April exports decreased 0.3% or RM224.7 million from RM84.5 billion in March, mainly attributable to decreases in mineral fuels (1.3%) followed by animal and vegetable oils and fats (0.7%) and inedible crude materials (0.5%). However, in seasonally adjusted terms, exports registered an increase of 9.5%.
Imports rose RM1.4 billion or 2.0% from RM69.8 billion contributed by consumption goods although on a seasonally adjusted terms, imports increased RM6 billion (8.8%) to RM74 billion.