Malaysia Industrial Production Growth Slows to 6.5 Percent in June

Industrial production growth in Malaysia slowed to 6.5 percent year-on-year in June, the lowest rate recorded in three months. This follows a stronger 8.5 percent increase in May, though the sector has maintained a continuous upward trend since June 2025.

According to the Department of Statistics Malaysia, the moderation was primarily caused by a significant drop in mining expansion, which fell to 3.1 percent from 19.8 percent in May. Other sectors showed resilience, with manufacturing growth accelerating to 7.3 percent. This growth was led by a 14.9 percent increase in the production of optical products, electronics, and computers. Electricity production also rose to 6.7 percent.

Labor market conditions remained steady during the same period. The national unemployment rate for June held at 3.0 percent, matching the figures from the previous month and the same period in the prior year.