Malaysia's Total Trade Value to Grow by 131 Pct in Q2 2026

KUALA LUMPUR, July 17 (Bernama) -- Malaysia's total trade value from second quarter 2012 to the same quarter in 2026 will grow by 131 per cent, according to HSBC Bank Malaysia Bhd. The bank's Global Connections report said Malaysia's trade growth is expected to be 5.2 per cent over the next five years, before accelerating to 7.4 per cent to 2021. Trade growth will then flatten out to 4.6 per cent over the period of 2022-2026, it said, adding Malaysia's growth will be higher than the average for the world throughout the period. "The research findings suggest that Malaysia continues to be a key market with strong trade performance prospects, with intra-regional trade underpinning the country’s cross-border activities," its Commercial Banking managing director Andy Grisdale said. The report said China represented the strongest export growth market with nine per cent projected over the next five years, while imports are expected to grow more slowly at around 4.7 per cent. Exports to China are dominated by electronics and commodities, such as palm oil and rubber. However, trade growth with the United States is expected to see a reduction, with exports to contract at an annualised rate of 2.5 per cent and imports to grow at 1.4 per cent. Meanwhile, the fastest growth in Malaysian exports is expected to be to Egypt and Bangladesh, with both forecast to see growth of above 11 per cent over the next five years. The top Malaysian trade sectors are a mix of commodity, electronics and parts. Malaysia's fastest growing export sectors are printing machinery and audio-visual, which are expected to grow by 17.5 per cent and 14.7 per cent respectively. The report said the HSBC Trade Confidence Index found that confidence among businesses in Malaysia with international operations continues to be stable. The indexed score rises to 111 from 106 in the second half of 2011. --BERNAMA