KUALA LUMPUR: Malaysia's Industrial Production Index (IPI) expanded 5.3 per cent in July driven by strong increase in the manufacturing output, according to the Department of Statistics Malaysia (DOSM).
Chief statistician Datuk Seri Dr Mohd Uzir Mahidin said the manufacturing output grew 7.7 per cent from 5.2 per cent in June, while electricity output grew 7.0 per cent from 3.5 per cent in June.
The production of the mining sector declined 5.0 per cent as against positive growth of 4.9 per cent in June 2024.
"In comparison with the preceding month, the IPI dropped 1.5 per cent from 4.8 per cent growth in the previous month," he said in a statement today.
For the first seven months this year (Jan to July 2024), DOSM said the IPI improved 4.1 per cent from 1.1 per cent in the same period last year, with all sectors posting increases, namely the mining index, manufacturing index and electricity index.
DOSM said both export-oriented and domestic-oriented industries performed favorably in July, recording growth of 7.8 per cent, up from 5.4 per cent in June, and 7.5 per cent, up from 4.6 per cent respectively.
It noted that July 2024's growth in export-oriented industries was driven by broad-based expansion across all sectors.
The manufacture of vegetable and animal oils and fats seeing a significant double-digit increase of 21.9 per cent compared with 11.0 per cent in June.
This was followed by a 5.0 per cent rise in the manufacture of computer, electronics, and optical products versus 4.9 per cent in June.
"In addition, the manufacture of coke amd refined petroleum products also remained high, with a growth of 11.7 per cent from 12.5 per cent in June.
"The year-on-year expansion of export-oriented industries mirrored the performance of the country's export of manufactured goods, which increased by 10.6 per cent in July.
"On a month-on-month comparison, the export-oriented industries fell 3.3 per cent from 11.8 per cent growth in June," it said.
DOSM said the upturn in domestic-oriented industries was primarily driven by a robust growth in the manufacture of other non-metallic mineral products and the manufacture of basic metals, which registered increases of 12.2 per cent and 10.5 per cent respectively.
It added that the manufacture of motor vehicles, trailers and semi-trailers rebounded with a growth of 3.9 per cent from -10.7 per cent in June.
In comparison to the preceding month, the domestic-oriented industries increased 1.0 per cent from -5.4 per cent in June.