Malaysia trade with FTA partners increased 2.9 pct to RM95.83 bln in June 2020

Malaysia trade with FTA partners increased 2.9 pct to RM95.83 bln in June 2020

28 Jul 2020

Malaysia’s trade with Free Trade Agreement (FTA) partners, which accounted 66.2 per cent of Malaysia’s total trade, increased 2.9 per cent to RM95.83 billion year-on-year (y-o-y) in June 2020.

In a statement today, the Ministry of International Trade and Industry (MITI) said exports to FTA partners amounted to RM55.87 billion, surged 10.1 per cent y-o-y but imports declined 5.6 per cent to RM39.96 billion.

“Increases in exports were recorded to Hong Kong SAR, up by 31 per cent to RM6.03 billion, attributed mainly to higher exports of E&E products, Pakistan (73.2 per cent), Turkey (1.7 per cent) and Chile (16.3 per cent). Compared to May 2020, trade, exports and imports were up by 25.6, 30.7 and 19.2 per cent, respectively.

“During the month under review, MITI said trade with China rebounded by 22 per cent y-o-y to RM28.68 billion, making up 19.8 per cent of Malaysia’s total trade.

“Exports to China continued to expand for three consecutive months, registering a 46.8 per cent increase to RM14.78 billion, led by higher  exports of iron and steel products, manufactures of metal, petroleum products, palm oil and palm oil-based agriculture products, other manufactures (SSD), optical and scientific equipment as well as E&E products,” it said.

Imports from China was up by 3.4 per cent to RM13.9 billion.

“Trade with the US in June 2020 also increased by 20.5 per cent y-o-y to RM15.42 billion, accounting for 10.6 per cent of Malaysia’s total trade.

“Exports recovered with a growth of 27.6 per cent to RM9.76 billion. Manufactured goods dominated exports to the US with 97.7 per cent share, increasing by 28.2 per cent to RM9.53 billion in June 2020,” it said.

Meanwhile, MITI said total trade with the European Union (EU), which comprised 8.3 per cent of Malaysia’s total trade in June 2020, contracted by 6.5 per cent y-o-y to RM11.99 billion.

“Exports increased by 3.3 per cent to RM7.23 billion, a rebound from a negative growth of 25.4 per cent recorded in May 2020, underpinned by higher exports of rubber products, palm oil and palm oil-based agriculture products as well as other manufactures (SSD). Imports from the EU decreased by 18.2 per cent to RM4.76 billion,” it said.

Among the top 10 EU markets which accounted for 91.1 per cent of Malaysia’s total exports to the EU, MITI said exports to eight countries recorded increases namely, Germany (14.4 per cent), the Czech Republic (104.7 per cent), Poland (82.4 per cent), Slovenia (97.6 per cent), Ireland (91.1 per cent), France ( (19.5 per cent), Italy (7.2 per cent) and Spain (2.6 per cent).

Source: Bernama