Malaysia’s external trade performance in 2024 marked a historic milestone, as the country recorded its highest-ever total trade value of RM2.9 trillion, reflecting a 9.2% year-on-year (y-o-y) increase. This achievement underscores Malaysia’s continued resilience and competitiveness as a key global trading nation, despite ongoing global economic challenges.
According to the External Trade Statistics, Malaysia 2024 report released today, exports rose by 5.8% to RM1.5 trillion, while imports increased by 13.1% to RM1.4 trillion, resulting in a trade surplus of RM139.1 billion. This marks the 27th consecutive year of trade surplus since 1998, further affirming the nation’s sustained strength in international trade.
China, Singapore, and the U.S. Lead as Malaysia’s Top Trading Partners
In terms of trading partners, China remained Malaysia’s largest trading partner for the 16th consecutive year, followed closely by Singapore and the United States. Notably, trade with the United States surged 30.0% compared to the previous year, reflecting strong bilateral economic engagement.
Taiwan emerged as the fifth-largest trading partner, registering a remarkable 38.5% y-o-y increase in total trade, amounting to RM176.1 billion. Trade with the European Union also grew by 5.9% to RM218.9 billion, with Germany, the Netherlands, and Italy remaining key export destinations.
Meanwhile, ASEAN continued to play a pivotal role in Malaysia’s trade ecosystem, accounting for 26.5% of the country’s total trade, with a 6.0% increase compared to 2023. This rebound marks a positive turnaround from the decline observed in the previous year and reflects the growing importance of regional supply chain integration under the Regional Comprehensive Economic Partnership (RCEP).
Export Performance
Malaysia’s export sector demonstrated resilience and adaptability in 2024. The total export value of RM1.5 trillion represents not only a solid 5.8% increase but also the fourth consecutive year exports have exceeded the RM1 trillion mark. This performance accounts for 87.2% of the export target set for 2025 under the Mid-Term Review of the 12th Malaysia Plan.
A significant contributor to this growth was domestic exports, which comprised 80.6% of total exports and grew by 9.4% y-o-y. In contrast, re-exports (goods previously imported and then exported again without significant processing) accounted for 19.4% of total exports, recording a slight dip to RM293.2 billion.
The strong export figures were driven by key sectors including electrical and electronics, petroleum products, palm oil and palm-based products, as well as machinery and appliances.
Import Growth
Imports also surged in 2024, with Malaysia recording total imports worth RM1.37 trillion, reflecting a robust 13.1% increase over the previous year. This shows the third consecutive year where import values exceeded RM1 trillion.
Growth in imports was led by increases across all major categories:
•Intermediate goods, used in the production of other goods,
•Capital goods, such as machinery and equipment for investment,
•Consumption goods, including food, beverages, and household products.
This growth indicates not only strong domestic consumption but also expanding industrial and investment activity, aligning with Malaysia’s broader economic development agenda.
Malaysia’s total trade is expected to continue its upward trajectory, buoyed by strong performance in key sectors, continued investment in supply chain infrastructure, and proactive government policies aimed at enhancing trade facilitation.
Initiatives such as the National Trade Blueprint (NTBp), further engagement under RCEP and the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), as well as digitalisation of customs and logistics processes, are expected to provide a solid foundation for continued growth.
Shahriena Shukri is a journalist covering business and economic news in Malaysia, providing insights on market trends, corporate developments, and financial policies. More about Shahriena Shukri.
