Malaysia trade surplus narrowed to MYR 1.2 billion in October of 2014, significantly down from MYR 8.23 billion a year earlier, as imports surged 9.1 percent and exports fell 3.1 percent. The surplus was the smallest since April 2013 and came far below market forecasts.
In October, exports amounted to MYR 65.1 billion as compared to MYR 67.19 billion a year ago. The main products contributed to a lower sales were: petroleum products ( down 19 percent year-on-year from MYR 7.3 billion, due to a decrease of 13.6 percent in export volume and a fall of 6.3 percent of average unit value); E&E products (-4.5 percent from MYR 22.4 billion); natural rubber (-52.4 percent from MYR 619.2 million due to a decrease of 30.6 percent in export volume and a 31.4 percent drop in average unit value); timber and timber based products (-8.2 percent from MYR 1.8 billion) and palm oil and palm oil-based products (-2.4 percent from MYR 6.0 billion). In contrast, exports increased for LNG (+7.8 percent from MYR 5.1 billion, due to a rise of 7.8 percent in export volume with a marginally fall of 0.04 percent average unit value) and crude petroleum (+2.4 percent MYR 6.0 billion).
Imports amounted to MYR 63.9 billion from MYR 58.09 billion a year earlier, mainly due to higher purchases of intermediate goods (+21.1 percent from MYR 33.9 billion) and consumption goods (+5.9 percent from MYR 4.1 billion). The main components contributing to rising imports of intermediate goods were: parts & accessories of capital goods (+30.2 percent); fuel and lubricants, processed, others (315.3 percent) and industrial supplies, processed (+11.1 percent). A rise in imports of consumption goods were driven by purchases of durables (+15.8 percent; food & beverages, primary, mainly for household consumption (+14.4 percent) and semi-durables ( +10.2 percent).
On a monthly basis, exports increased from MYR 64.5 billion in September, due to higher sales to South Korea (+MYR 995.5 million), New Zealand (+MYR 530.7 million), the EU countries (+MYR 380.8 million), Singapore (+MYR 365.5 million) and Thailand (+MYR 302.6 million).
During January to October of 2014, the country's major trading partners were China with 14.1 percent market share, followed by Singapore (13.5 percent), European Union countries (9.8 percent), Japan (9.6 percent) and the United States (8.0 percent).
12/5/2014 9:15:39 AM