Malaysia's September Exports Jump 54.5% on Strong E&E Demand

Malaysia's exports surged in September 2026, powered once again by electrical and electronic (E&E) products. Data released on 19 October by the Department of Statistics Malaysia (DOSM) showed exports rose 54.5% year on year to RM215.1 billion, while imports climbed 52.7% to RM181.4 billion.

The trade surplus widened 64.9% to RM33.7 billion, marking the 77th consecutive month of surplus since May 2020, according to Bernama's report on the DOSM figures.

The headline numbers

Total trade in September reached RM396.5 billion, up 53.7% from a year earlier. Some key details:

• Domestic exports rose 54.7% to RM162.0 billion, making up about three quarters of total exports.
• Re-exports grew 53.7% to RM53.1 billion.
• Month on month, exports rose 12.6% and imports 11.3% compared with August.
• E&E exports increased by RM45.1 billion from a year earlier, the biggest contributor to growth.

By destination, shipments to the United States rose the most in value, followed by Taiwan and Singapore. On the import side, the largest increase came from China.

Nine months of strong trade

For January to September, total trade rose 30.1% to about RM2.9 trillion, with exports up 34% and imports up 25.7%, according to DOSM. The cumulative trade surplus more than doubled compared with the same period last year.

The Star reported that the Investment, Trade and Industry Ministry (Miti) described the outlook as positive, while warning that trade remains exposed to shifting policies by major economies and geopolitical tensions, including conflicts in West Asia that could disrupt trade flows and raise costs.

Key takeaway: global demand for chips and electronics, much of it linked to AI infrastructure, is giving Malaysia's trade numbers a major lift.

Not every sector is booming

The picture was not uniform. The Star noted that agriculture exports fell 5.7% year on year in September, mainly due to lower palm oil export volumes. Mining exports, on the other hand, hit a record, helped by LNG and crude petroleum.

This mix matters. Strong E&E exports mostly benefit manufacturers and their supply chains in states like Penang, Kedah, Selangor and Johor, while smallholders and plantation workers depend more on palm oil prices and volumes.

What it means for Malaysians

For workers and businesses, the export boom is generally good news, but its effects are uneven:

1. Jobs in electronics and related industries are likely to stay in demand, including technicians, engineers and logistics staff.
2. SMEs supplying the E&E sector, such as precision parts, packaging and services, may see more orders.
3. The ringgit can be supported by strong trade surpluses, which affects import prices and overseas spending.
4. Concentration risk is real. Heavy reliance on electronics means a slowdown in global tech spending would hit Malaysia hard.

Imports of intermediate goods, which are inputs for production, rose strongly too. That suggests factories are busy, which also supports the strong manufacturing growth seen in the latest GDP estimate. We covered that in our report on Q3 GDP.

What to watch

Upcoming releases, including state-level trade data later in October, will show which parts of the country benefit most. Investors and exporters will also watch US trade policy closely, since the US was the largest source of export growth in September.

For now, Malaysia's trade engine is running hot, led by chips and electronics.