Malaysia’s Total Trade Surges 24.7% to RM2.16 Trillion in First Seven Months of 2026

KUALA LUMPUR, Aug 21 — Malaysia’s total trade reached RM2.16 trillion during the January-July 2026 period, expanding 24.7 per cent year-on-year (y-o-y) on the back of sustained global demand for exports.

According to data released by the Malaysia External Trade Development Corporation (MATRADE), exports grew 29.2 per cent to RM1.165 trillion, while imports rose 19.8 per cent to RM994.71 billion.

The nation’s trade surplus surged by 138.7 per cent to RM170.5 billion, more than doubling the RM71.42 billion recorded during the same seven-month period last year.

MATRADE highlighted that external trade recorded its strongest performance on record for the January-July timeframe. Exports crossed the RM1 trillion milestone faster than in 2025—when the mark was reached in August—while total trade surpassed RM2 trillion significantly faster than the September timeline logged last year.

“With five months remaining in 2026, Malaysia’s trade performance remains on track for another record year, building on three consecutive years of trade expansion since the pandemic-induced contraction in 2020,” MATRADE stated.

Micro, small, and medium enterprises (MSMEs) continued to solidify their contribution to national exports. Following a 10.5 per cent expansion to RM214.5 billion in 2025—representing 14.7 per cent of total national exports—MSMEs maintained strong momentum in 2026. Manufacturing remained the backbone of MSME exports, accounting for 9.1 per cent of total exports at RM132.7 billion (+8.8 per cent).

For the January-July 2026 period, key MSME sectors recorded notable gains, led by food and beverage products (+6.3 per cent), automotive (+13.8 per cent), pharmaceuticals (+29.7 per cent), metal furniture (+27.8 per cent), and palm oil-based oleochemical products (+13.4 per cent).

Malaysia’s robust export growth was supported by strong demand across major trading partners, including the United States (+58.3 per cent to RM206.59 billion), ASEAN (+20.3 per cent to RM315.67 billion), Taiwan (+71.4 per cent to RM80.81 billion), Hong Kong (+49.8 per cent to RM77.86 billion), China (+24.3 per cent to RM127.87 billion), and the European Union (+29.8 per cent to RM90.73 billion).

Concurrently, MATRADE’s market diversification strategy into non-traditional markets yielded an 18.2 per cent surge to RM100.94 billion across Africa, Central Asia, South Asia, and Latin America. Exports to Angola (+231.2 per cent), Zimbabwe (+242.7 per cent), Sudan (+203.5 per cent), and Congo (+117.1 per cent) saw triple-digit increases, with shipments to Sudan, Congo, Ethiopia, and Zimbabwe already surpassing their full-year 2025 totals.

Free Trade Agreements (FTAs) continued to underpin export growth, with shipments to 24 FTA partner countries expanding 22.4 per cent to RM737.97 billion—accounting for 63.3 per cent of total Malaysian exports. Exports to Regional Comprehensive Economic Partnership (RCEP) markets increased 19.7 per cent to RM564.02 billion, while trade under the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) rose 18.1 per cent to RM330.42 billion.

MATRADE Chief Executive Officer Datuk Abu Bakar Yusof emphasized that while current figures demonstrate the resilience of Malaysian exporters, long-term success requires deliberate effort to expand the country’s broader trade ecosystem.

“MATRADE is doubling down on empowering MSMEs and mid-tier companies to ensure our expansion is broad-based, homegrown and deeply integrated into global supply chains,” Abu Bakar said.

–NMT