Malaysia Manufacturing PMI - 3 October 2023

Manufacturing downturn worsened in September as demand falters

Manufacturing Purchasing Managers’ Index (PMI) fell further in September (46.8; Aug: 47.8), reflecting no sign of demand revival at the end of 3Q23

  • The index remained in contraction level (below the neutral level: 50.0) for the thirteen-straight month, with manufacturing conditions eased the most since January. The extended slowdown in the manufacturing industry is highly attributed to a weaker demand in tandem with the global economic slowdown narrative.

Production was scaled down due to lack of demand as new export orders continued to softened

  • New orders moderated for the thirteenth month and lowest in eight months.
  • Export demand eased further since May 2020, reflecting a persistent weakness in global trade.
  • Consequently, output levels fell for the fourteenth straight month owing to weaker demand.