Industrial Production

Overview

The Industrial Production Index expanded by 5.7 per cent in September 2025, driven by growth of Mining sector 10.2 per cent and Manufacturing sector 5.0 per cent


The Industrial Production Index recorded a growth of 5.7 per cent in September 2025. The Department of Statistics Malaysia reported in the release of the Industrial Production Index (IPI), Malaysia, September 2025 today. This publication presents IPI statistics comprising three sectors, namely Mining, Manufacturing and Electricity.

The IPI expanded by 5.7 per cent in September 2025, following a growth of 4.8 per cent in the previous month. This expansion was contributed by robust growth in the Manufacturing sector at 5.0 per cent (August 2025: 2.8%), followed by the Mining sector at 10.2 per cent (August 2025: 16.8%) and the Electricity sector at 2.8 per cent (August 2025: 1.2%). Compared to August 2025, the IPI contracted 0.02 per cent versus a growth of 2.4 per cent recorded in the previous month.

In the Manufacturing sector, domestic-oriented industries rose by 5.3 per cent in September 2025, after recording a growth of 3.8 per cent in August 2025. This positive momentum was contributed by the Manufacture of food processing products (9.0%); Manufacture of basic metals (6.1%); and Manufacture of fabricated metal products, except machinery and equipment (4.5%). On a month-on-month basis, domestic-oriented industries grew by 1.5 per cent (August 2025: 4.9%).

Similarly, export-oriented industries in September 2025 continued to increase by 4.8 per cent, after posting a rise of 2.3 per cent in the previous month. This performance was mainly supported by the Manufacture of computer, electronic and optical products, which recorded a growth of 8.8 per cent, and further bolstered by the Manufacture of vegetables and animal oils and fats (7.4%). On a month-on-month comparison, export-oriented industries increased by 0.8 per cent (August 2025: 1.2%).

The 10.2 per cent growth in the Mining sector in September 2025 was driven by the Crude Oil & Condensate production, which rose by 13.0 per cent (August 2025: 11.4%), although slower improvement was seen in Natural Gas production (8.5%). On a month-on-month basis, the Mining index declined by 2.9 per cent.

Meanwhile, the Electricity index posted an increase of 2.8 per cent in September 2025, improving from 1.2 per cent recorded in the previous month. Compared to August 2025, the Electricity index dropped by 4.4 per cent.

At the global level, the IPI for most countries showed an upward trend in September 2025, with double-digit year-on-year increases recorded by Singapore (16.1%), Taiwan (15.5%) and South Korea (11.6%). The growth was also observed in countries such as China (6.5%), Japan (3.4%) and Thailand (1.0%) for September 2025.

Overall, in the third quarter of 2025, the IPI recorded a notable growth of 4.9 per cent compared to 2.0 per cent in the second quarter of 2025. This significant growth was contributed by all sectors, with Manufacturing (4.0%), Mining (10.3%) and Electricity (1.9%). On a quarter-on-quarter comparison, the IPI rose by 6.6 per cent.

Summarizing the IPI performance for the first nine months of 2025, the IPI grew at moderate rate of 3.1 per cent as against the same period in the preceding year (January - September 2024: 3.8%), influenced by the expansion of the Manufacturing index (4.0%). In the meantime, the Mining index and Electricity index recorded marginal growth of 0.2 per cent and 0.1 per cent, respectively.

The full publication of the Industrial Production Index, September 2025 can be downloaded through eStatistik portal.

Released by:

DEPARTMENT OF STATISTICS MALAYSIA

7 NOVEMBER 2025

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