MALAYSIA’S Industrial Production Index (IPI) grew by 2.1% year-on-year in October 2024, driven by steady output growth in the manufacturing sector, according to the Department of Statistics Malaysia (DOSM).
“The IPI maintained positive growth in October 2024, albeit at a slower rate of 2.1% after registering 2.3% growth in the preceding month,” Chief Statistician Datuk Seri Mohd Uzir Mahidin noted in a statement today.
“The increase was spearheaded by the manufacturing sector, which expanded by 3.3%, up from 3.2% in September 2024, and a 2.5% rise in electricity output (September 2024: 3.9%). However, the mining sector’s production decreased further by 2.8% compared to a negative growth of 2.2% in the previous month,” he added.
DOSM said the manufacturing sector’s growth in October 2024 was bolstered by domestic-oriented industries, which expanded by 3.3% (September 2024: 2.7%).
Key contributors included the Manufacture of fabricated metal products, which grew by 6.5%, food processing products (4.5%), and other non-metallic mineral products (5.2%).
Export-oriented industries also posted strong growth of 3.3% year-on-year, marginally lower than the 3.4% growth in September.
“The steady performance was anchored by double-digit growth of 12.7% in the Manufacture of vegetable and animal oils and fats, and 10.9% in rubber products,” said Mohd Uzir.
The manufacture of computer, electronics, and optical products maintained positive momentum with a 2.9% increase.
On a monthly basis, domestic-oriented industries saw a slight decline of 0.9%, while export-oriented industries contracted by 1.4%, an improvement from the 1.6% decrease in September.
The mining sector, on the other hand, experienced a 2.8% contraction in October due to reduced crude oil and condensate production (-7.5%) and slowed growth in natural gas output (0.4%).
However, the mining index rose 14.7% month-on-month compared to 2.8% in September.
Meanwhile, the electricity sector grew 2.5% year-on-year in October, recovering from a 3.9% increase in September.
Month-on-month, the electricity index rebounded strongly, rising by 4.2% compared to a 3.9% decline in September.
Summing up the performance for the first 10 months of 2024, Mohd Uzir said, “The IPI improved to 3.7% (January-October 2023: 0.8%), with all sectors posting increases – mining (0.9%), manufacturing (4.2%), and electricity (6.0%).” –TMR