Malaysia’s industrial production rose 4.7% year-on-year in July 2026, slowing from a 6.5% increase in June and coming in below market expectations of 5.4%. This marked the weakest growth in industrial output since March, reflecting a moderation in several key sectors.
Manufacturing growth eased to 6.4% from 7.3%, weighed down by slower production in:
- Transport equipment and other manufactures (4.5% vs 9.4%)
- Petroleum, chemical, rubber & plastic products (1.7% vs 2.6%)
- Electrical and electronics products (13.3% vs 13.6%)
Electricity output also moderated, growing 5.0% compared with 6.7% in the previous month. In contrast, the mining sector contracted, falling 3.2% year-on-year after a 3.1% increase in June.
On a seasonally adjusted month-on-month basis, overall industrial production slipped 0.1% in July, following a 0.5% decline in the prior month.
