Malaysia’s industrial production index (IPI) expanded by 4.9% year-on-year in August 2025, supported by the relatively stable performance of the mining sector, said the Department of Statistics Malaysia (DOSM).
Chief statistician Datuk Seri Dr Mohd Uzir Mahidin said the expansion was attributed to the vigorous growth of the mining sector at 16.8% (July 2025: 4.3%), followed by an increase in the manufacturing sector output of 2.8% (July 2025: 4.4%).
“The growth in the electricity sector remained at a rate of 1.6% (July 2025: 1.6%). In comparison with July 2025, the IPI rebounded to 2.4%, contrasting with the negative growth of 0.3% in the previous month,” he said in a statement Friday.
He also said that the production of manufacturing sector in the month under review was primarily reinforced with a 2.3% growth in export-oriented industries as against 4.1% recorded in July 2025.
“This increase was predominantly observed in the manufacture of computer, electronics and optical products, which rose 6.7%, followed by the manufacture of electrical equipment sub-sector, which strengthened further by 7.4%,” he said.
On the performance of the export-oriented industries, Mohd Uzir added that it was in tandem with the positive 1.9% growth in the country's export performance in August 2025.
“On a month-on-month comparison, the export-oriented industries improved to 1.2% as against the negative growth of 2.2% in July 2025,” he said.
Additionally, domestic-oriented industries continued to grow at 3.8% compared with the increase of 5.0% registered in July 2025.
The sustained growth was contributed by the positive momentum recorded in the manufacture of food processing products and fabricated metal products, except machinery and equipment, which registered increases of 9.7% and 4.9%, respectively.
Looking at the performance of several countries, the IPI grew modestly in the United States (0.9%), South Korea (0.9%), China (5.2%) and Taiwan (14.4%).
Conversely, the IPI in Japan decreased 1.3%, Thailand (-4.2%) and Singapore (-7.8%) in August 2025.
As for the IPI’s performance for the first eight months of 2025, Mohd Uzir said this grew at a slower rate of 2.7% as compared to the same period of the previous year (January-August 2024: 4.0%), influenced by the manufacturing index (3.9%).
Conversely, the mining index and electricity index recorded a decline of 1.0% and 0.2%, respectively.
Source: theedgemalaysia