Malaysia’s industrial production expanded by 6.3% year-on-year in September 2026, up from 5.0% in August, when growth had eased to its lowest level since March. This marked the fastest pace of expansion since June, largely supported by stronger output in the manufacturing sector, where growth accelerated to 9.4% from 7.4% in the previous month.
Within manufacturing, the main contributors to the improvement were electrical and electronics products (up 17.3% vs 17.0% in August), food, beverages and tobacco products (7.2% vs 1.5%), and non-metallic mineral products, basic metals and fabricated metal products (6.8% vs 5.7%). Electricity production also strengthened, with output rising 10.7% compared with 9.0% in August.
By contrast, mining activity contracted further, falling 9.4% after a 7.4% decline in the previous month, pressured by weaker production of crude oil and condensate (-11.8% vs -12.2%) and natural gas (-7.9% vs -4.3%).
On a seasonally adjusted month-on-month basis, overall industrial output increased by 1.2% in September, following 0.5% growth in August, representing the fastest monthly gain in five months.
