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Which product did Malaysia import the most in the 1st quarter of 2025?
According to the March 2025 report from the Ministry of Investment, Trade, and Industry (MITI), Electrical and Electronics (E&E) products were the largest imported category in the first quarter of 2025, totaling RM124.451 billion in value and representing nearly 37% of the country’s total import value figure.
| Rank | Product Category | Import Value (RM billion) | Import Share (%) |
|---|---|---|---|
| 1 | E&E products | 124.45 | 36.89 |
| 2 | Machinery, equipment, parts | 27.37 | 8.11 |
| 3 | Petroleum products | 24.60 | 7.29 |
| 4 | Chemical & Chemical products | 23.05 | 6.83 |
| 5 | Manufacturers of metal | 14.75 | 4.37 |
| 6 | Transport equipment | 14.30 | 4.24 |
| 7 | Crude petroleum | 13.50 | 4.00 |
| 8 | Optical & Scientific equipment | 7.57 | 2.24 |
| 9 | Processed food | 7.275 | 2.16 |
| 10 | Iron & Steel products | 6.89 | 2.04 |
Top 1 Import Product: Electrical & Electronic Equipment | 36.89%
In Q1 2025, electrical and electronic equipment (E&E) topped Malaysia’s import product categories, contributing RM124.4 billion in value, or 36.89% of the country’s total import. The main imported items within this category include semiconductor devices, integrated circuits, and various electrical apparatus.
E&E imports play a critical role in supporting Malaysia’s export-oriented manufacturing ecosystem. These products serve as essential inputs for domestic factories engaged in high-tech assembly testing and packaging operations geared toward re-export. By filling supply chain gaps, electrical and electronic imports strengthen Malaysia’s role as a strategic node in the global electronic supply chain.
With the increase global demand for advance technologies such as artificial intelligence (AI), IoT and 5G infrastructure, Malaysia’s reliance on importing high-value semiconductors and electronic components is expected to grow. As the country continues to prioritise E&E as a key economic sector, its position in the global electronics and semiconductor market is likely to expand further in 2025 and beyond.
Malaysia’s E&E imports are rising sharply to meet global demand for semiconductors, AI systems, and 5G infrastructure. But without examining the export performance of these same sectors, any trade analysis remains incomplete.
Examine the full breakdown in this article: Malaysia’s Top 5 Export Products in 2024
Top 2 Import Product: Machinery, Equipment & Parts | 8.11%
In the first quarter of 2025, machinery, equipment, and parts represented the second-largest category in Malaysia’s import product list, accounting for 8.11% of total import value. Key source countries for these imports included China, the United States, Taiwan, and Japan. Among them, imports from China recorded a significant year-over-year increase of 45.3% in March 2025.
Despite this surge from China, the overall segment experienced a quarter-on-quarter decline of more than 10%, reflecting a slowdown in Malaysia’s industrial production during early 2025. The drop in machinery imports aligns with reduced short-term capital expenditure and slower factory output.
of Machinery, Equipment and Parts
by Sub-sectors (2023)
However, the medium-term outlook remains stable. Malaysia’s manufacturing sector is projected to grow by 4.7% by the end of 2025. This growth is driven by a combination of factors, including a continued technology investment cycle, stable domestic and international demand, improved labor market conditions, and increased development spending under Malaysia’s Budget 2025. The budget includes targeted allocations to support industrial expansion and technological upgrading.
Top 3 Import Product: Petroleum Products | 7.29%
This import category includes refined petroleum, fuel oils, and industrial lubricants. Despite its significance, the segment recorded a sharp year-on-year contraction of 37.6% in Q1 2025.
The decline was driven by reduced industrial output and slower mining activity, two major consumers of petroleum-based inputs. Concurrently, Malaysia’s exports of petroleum products fell by 27.1% compared to Q1 2024. As Malaysia functions as a significant re-exporter in this segment, the drop in outbound volumes directly affects import demand. Additionally, oil prices experienced their steepest weekly decline in three years during this period, further contributing to reduced import values.
Source: Shanghai Metal Market
Over the longer term, Malaysia’s petroleum import volumes have trended downward from 2020 to 2024, following a peak in 2022. This sustained decrease reflects rising domestic oil and gas output, particularly from late 2023 onward, which has helped reduce the country’s dependence on external petroleum supplies.
Petroleum product trade is predicted to remain highly volatile, driven by excess supply, constrained demand and sustained price pressure. In such conditions, delayed visibility can slow response to market shifts.
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Top 4 Import Product: Chemical & Chemical Produts | 6.83%
Chemical products accounted for 6.83% of Malaysia’s import value in Q1 2025, with a recorded 9.4% year-on-year decline. This import segment includes a broad range of products such as fertilizers, industrial-use chemicals (including water treatment agents and textile dyes), and pharmaceutical raw materials.
These chemical imports plays essential roles across key sectors of Malaysia’s economy. Chemical products support manufacturing processes, enhance agricultural output through fertilizers, and provide essential raw materials for pharmaceutical manufacturing.
According to TradeInt data, most chemical imports were sourced from countries within the Asia-Pacific region, leveraging Malaysia’s advanced logistics networks
- 9 seaports, two of which are among the busiest in the world
- 7 major international airports and 63 domestic airports
In addition, Malaysia also imported from Australia (12.85%) and European countries, including Germany, Italy, and the UK. This diversified sourcing approach enables Malaysian buyers to maintain access to specialized chemical inputs and high-grade materials, while optimizing shipping time and costs.
| No. | Top 10 Exporter Country | Proportion (%) |
|---|---|---|
| 1 | China | 22.77 |
| 2 | Indonesia | 17.8 |
| 3 | South Korea | 14.03 |
| 4 | Australia | 12.85 |
| 5 | United Kingdom | 🔒Unlock Malaysia trade records |
| 6 | Singapore | 🔒Unlock Malaysia trade records |
| 7 | Japan | 🔒Unlock Malaysia trade records |
| 8 | Thailand | 🔒Unlock Malaysia trade records |
| 9 | Germany | 🔒Unlock Malaysia trade records |
| 10 | Taiwan | 🔒Unlock Malaysia trade records |
Top 5 Import Product: Manufactures of Metal | 4.37%
This category includes a wide range of iron and steel products such as semi-finished and finished steel goods, galvanized iron coils and sheets, as well as other fabricated metal components.
Similar to many other major imports, manufacturers of metal saw a significant year-on-year drop of 17.6% in import value. This reduction is primarily attributed to the imposition of anti-dumping duties on selected iron and steel imports from China, South Korea, and Vietnam.
Despite the decline, imports of metal manufactures continue to serve key strategic functions. They supply essential components—such as engines, transmission systems, and electronic assemblies—that are either not produced locally or produced in limited volumes. This support is critical for Malaysia’s manufacturing sector, particularly its automotive industry. As the second-largest automotive market in ASEAN, Malaysia recorded a total industry volume of 816,747 vehicles in 2024. Metal imports play a stabilizing role in this ecosystem by addressing supply gaps caused by production volatility and global supply chain disruptions.
Top 6 Import Product: Transport Equipment | 4.24%
Transport equipment was the only import category to record year-on-year growth. It expanded by 21.3% reaching an export value of over RM14.3 billion in Q1 2025.
This includes imports of vehicles (cars, motorcycles, trucks), transportation-related parts and accessories, aircraft, marine vessels, and railway equipment. The increase reflects Malaysia’s growing demand for automotive and mobility-related products, supported by rising household income, urban expansion, and overall economic growth. Between 2025 and 2032, the automotive market in Malaysia is projected to grow by an additional US$3 billion in revenue.
Compared to other ASEAN-6 economies, Malaysia’s demand for light vehicles is expected to rise more steadily through 2030, outpacing projections for countries such as Vietnam and the Philippines.
Top 7 Import Product: Crude Petroleum | 4%
Malaysia’s imports of crude petroleum dropped by over 12% compared to the previous year in Q1 2025. This notable decrease was primarily driven by increased domestic crude supply. According to its Department of Statistics data, Malaysia produced 45.5 million barrels of crude oil and condensate during the same period, a modest 5.2% decrease from the previous yead, but showing signs of stabilization and improved field efficiency.
Higher domestic output reduced the country’s dependence on imported crude to meet local refining and energy demands. Nevertheless, Malaysia continues to import crude petroleum to address specific needs. Imports serve to bridge supply gaps when local production is insufficient or when refineries require particular grades of crude not available domestically. Additionally, imported crude supports the buildup of strategic petroleum reserves and acts as feedstock for the petrochemical sector.
Top 8 Import Product: Optical & Scientific Equipment | 2.24%
Optical and scientific equipment remained among Malaysia’s top 10 import categories in Q1 2025, despite a slight year-on-year decline in export value. Since late 2024, the segment has consistently maintained strong performance, previously peaking at over RM 5.08 billion. Monthly import value exceeded RM2.5 billion in early 2025.
Explore Malaysia’s detailed import data to see which precision instruments are shaping Malaysia’s healthcare, electronics, and manufacturing sectors.
This category of imports covers a wide range of precision instruments and devices which are essential across multiple sectors:
- Electronics and semiconductor manufacturing: Used for precision measurement, quality control, and process monitoring in factories, especially in the electronics and E&E industries, two leading export products of Malaysia
- Healthcare and medical diagnostics: Hospitals and laboratories use imported optical and scientific equipment for diagnostic imaging, laboratory analysis, and research, supporting Malaysia’s growing healthcare sector.
- Industrial quality control and testing: Manufacturing sectors (including automotive, aerospace, and pharmaceuticals) use these instruments for product testing, calibration, and compliance with international standards.
Top 9 Import Product: Processed Food | 2.16%
Processed food imports play a vital role in diversifying Malaysia’s food supply, supporting economic growth, and meeting evolving dietary preferences.
However, imports in this category declined by 8.7% compared to the same period in 2024. The decline was likely linked to Malaysia’s slower GDP growth in early 2025, which may have reduced consumer discretionary spending on imported food items. Additionally, global food trade conditions remained unstable, with ongoing supply chain disruptions and price volatility continuing to affect import volumes. Despite the drop, processed food remains a critical category for ensuring food security and supporting value-added demand in both retail and industrial sectors.
Top 10 Import Product: Iron and Steel Products | 2.04%
Iron and steel products accounted for 2.04% of Malaysia’s total imports in Q1 2025, registering a year-on-year value decline of over 24%. The segment primarily includes flat steel products such as sheets, plates, and coils, which are essential to the construction, automotive, and manufacturing industries.
While domestic steel mills are expanding production capacity, Malaysia continues to import flat steel products to address supply shortfalls. In May 2025, over 46% of Malaysia’s metal imports originated from China, making Malaysia the sixth-largest importer of Chinese steel.
China’s dominance is driven by two main factors:
- Lower pricing: Chinese steel and metal products including hot-rolled coil (HRC) are priced $10–$115 per metric ton lower than other countries like India and Turkey.
- High production capacity: China has significantly increased steel output since 2000 to support its economic growth, enabling large scale exports across ASEAN, including Malaysia.
Source: Shanghai Metal Market
To protect local producers from unfairly low-priced imports, the Malaysian government has imposed anti-dumping duties ranging from 4.5% to over 36% on specific steel imports, especially cold-rolled coils from China, Japan, India, and South Korea. These protective measures were extended for five years in June 2025, though tariffs on imports from South Korea and Vietnam were lifted to facilitate targeted trade collaboration.
China leads Malaysia’s steel imports, but which other countries are expanding their supply share?
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