ADS/Country Profile: Malaysia

ADS/Country Profile: Malaysia

Partnering the world in trade

The last decade saw Malaysia's merchandise trade grow by more
than twofold from RM347.33 billion, or US$136.74 billion, in 1995
to RM880.82 billion ($231.79 billion) in 2004.

Merchandise exports surged from RM184.99 billion ($72.83
billion) in 1995 to RM480.74 billion ($126.5 billion) in 2004,
while imports reached RM400.08 billion ($105.28 billion).

The Malaysian economy in the first quarter of 2005 remained
strong and resilient with real GDP growth recording a growth of
5.7 percent despite escalating oil prices and signs of a slowdown
in global semiconductor demand.

Malaysia's merchandise exports in the first four months of
2005 were RM165.97 billion ($43.67 billion), 12.5 percent higher
compared with RM147.49 billion ($38.81 billion) in the
corresponding period in 2004.

For the period under review, manufactured goods remained the
major contributor to Malaysia's merchandise exports, with a 77.3
percent share. ASEAN, the United States, the European Union (EU),
Japan and the People's Republic of China were Malaysia's major
exports markets.

These markets collectively absorbed 73.4 percent of Malaysia's
total exports. In terms of a single market, the U.S. remained
the largest single export market with a 17.6 percent share valued
at RM21.59 billion ($5.68 billion), followed by Singapore and
Japan at 16.1 percent and 10.3 percent, respectively.

For the period of January to April 2005, Malaysia's total
imports registered an increase of 8.6 percent to RM132.69 billion
($34.92 billion) compared with RM122.17 billion ($32.15 billion)
in the corresponding year.

To sustain and enhance Malaysia's export performance in 2005,
the Malaysia External Trade Development Corporation, or MATRADE,
which is the national trade promotion agency, is currently
aggressively undertaking a number of trade promotion activities.

These include mounting 65 international trade fairs in 29
countries, some of which are traditional markets, while others
are new and emerging markets.

Special emphasis is given to marketing products and services
with high growth potential such as processed food, building
materials, consumer electrical and electronic items, education,
health care, information, communication and technology services,
construction, professional services and franchising. Efforts are
also being taken to showcase Malaysian brands in international
trade fairs as hallmarks of Malaysian quality.

In addition, eight trade missions are being organized to
markets such as the U.S., ASEAN, east Asia, west Asia, eastern
Europe and Africa. These missions are led by the minister of
international trade and industry. Ten Specialized Marketing
Programs have also been planned in 2005, seven of which are for
marketing services and three for general products.