BULLETIN

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VOLUME 552

MINISTRY OF INTERNATIONAL TRADE AND INDUSTRY

Weekly

17 September 2019 | NO. ISSN : 2180-0448

Malaysia Statistics

MANUFACTURING, JULY 2019

Manufacturing Indicators

Sales Value

RM 74.24 billion Salaries &

Wages RM4.01 billion Number of

Employees 1,088,616 persons

Sales Value Per Employees

RM68,193

1.3% 3.4% 4.7%

6.0%

Performance of Sales in Manufacturing Sector

Transport Equipment & Other Manufactures

7.4%

Food, Beverages & Tobacco

7.2%

Non-Metallic Mineral Products, Basic Metal &

Fabricated Metal Products

6.2%

5.9%

Textile, Wearing Apparel, Leather & Footwear

Petroleum, Chemical, Rubber & Plastic

5.8%

Electrical & Electronics Products

5.7%

Wood, Furniture, Paper Products & Printing

4.4%

Malaysia’s Manufacturing sales grew by 6.0 per cent in July 2019 to register at RM74.24 billion as compared to

RM70.0 billion reported a year ago.

Note: % refer to Y-o-Y Growth

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MITI Weekly Bulletin | www.miti.gov.my

Malaysia Statistics

Industrial Production Index (IPI)

Malaysia Statistics

Malaysia's IPI

grew by 1.2%

in July 2019

Crude oil Natural Gas

Mining

July 2019 July 2018 114.8 113.4

1.2%

7.3% -22.7%

Manufacturing

Transport Equipment

& Other Manufactures 5.8%

Textile, Wearing

Apparel, Leather & Footwear

5.4%

5.8%

Wood, Furniture, Paper Products & Printing

5.6%

0.7%

Non-Metallic Mineral Products, Basic Metal &

Fabricated Metal Products

4.4% 3.4%

4.9%

Petroleum, Chemical, Rubber & Plastic

E&E Products

Food, Beverages

& Tobacco

Note: Percentage refers to y-o-y percentage change

Electricity 2.0%

Manufacturing

4.0%

Mining -8.4%

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LABOUR FORCE IN MALAYSIA, JULY 2019

Source: Department of Statistics, Malaysia Note: % refer to Y-o-Y Growth

Labour Force July 2019:15,704.6 2.0%

('000) July 2018:15,401.0

Employed July 2019:15,179.8 2.0%

('000) July 2018:14,882.4

Unemployed July 2019:524.8 2 1.2%

('000) July 2018:518.6

July 2019:68.5%

July 2018:68.6%

July 2019:3.3%

July 2018:3.4%

Outside Labour July 2019:7,207.7 2.3%

Force ('000) July 2018:7,044.5

Labour Force Participation Rate

Unemployment Rate

The number of labour force in July rose 1.8 per cent against June 2018 to 15.66 million persons

Malaysia Statistics

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Merchandise Trade Statistics

Source: https://www.trademap.org/index.aspx

WORLD LARGEST EXPORTERS OF

PREPARATIONS WITH A BASIS OF EXTRACTS, ESSENCES OR CONCENTRATES OF COFFEE OR WITH A BASIS OF COFFEE*

TOP FIVE MALAYSIA EXPORT DESTINATIONS

1 ^China ^US$45.7m ² ³ ⁴ ⁵

Indonesia US$21.3m

Saudi Arabia US$16.2m Hong Kong

US$19.2m Kazakhstan

US$19.6m

In 2018, Malaysia’s export of preparations with a basis of extracts, essences or concentrates of coffee or with a basis of coffee recorded US$307.2 million with 18.2% share to the world exports Notes:

**-*HS210112**

-% refer to share in world exports

2 ^Germany ^US$124.2m ^7.4%

1 ^Malaysia ^US$307.2m 18.2%

5 Czech Republic US$93.5m

4 ^USA ^US$94.6m _5.6% 5.6%

3 ^{Viet Nam} ^{US$ 96.1m} ^5.7%

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Note: *Provisional Data Source: Ministry of International Trade and Industry, Malaysia

0 20 40 60 80 100 120 140

0 20 40 60 80 100 120

23 June 30 June 7 July 14 July 21 July 28 July 4 Aug 11 Aug 18 Aug 25 Aug 1 Sep 8 Sep No. of Certificate of Origin

RM mil.

Generalised System of Preferences (GSP)

Total FOB (RM mil.) Total CO

Note: The preference giving countries under the GSP scheme are Liechtenstein, the Russian Federation, Japan, Switzerland, Belarus, Kazakhstan and Norway.

Number and Value of Preferential Certificates of Origin (PCOs)

0 1,000 2,000 3,000 4,000 5,000 6,000

0 5,000 10,000 15,000 20,000 25,000 30,000

RM mil.

ASEAN Trade in Goods Agreement (ATIGA)

0 500 1,000 1,500 2,000 2,500 3,000 3,500

0 200 400 600 800 1,000 1,200 1,400

RM mil.

ASEAN-China Free Trade Agreement (ACFTA)

0 200 400 600 800 1,000 1,200

RM mil.

ASEAN-Korea Free Trade Agreement (AKFTA)

0 50 100 150 200 250 300

0 20 40 60 80 100 120

RM mil.

ASEAN-Japan Comprehensive Economic Partnership (AJCEP)

0 100 200 300 400 500 600 700 800 900 1,000

RM mil.

ASEAN-India Free Trade Agreement (AIFTA)

0 200 400 600 800 1,000 1,200

0 50 100 150 200 250

RM mil.

ASEAN-Australia-New Zealand Free Trade Agreement (AANZFTA)

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Sale s V alu e

Number and Value of Preferential Certificates of Origin (PCOs)

0 100 200 300 400 500 600 700 800 900 1,000

0 20 40 60 80 100 120 140 160 180 200

RM mil.

Malaysia-Japan Economic Partnership Agreement (MJEPA)

0 50 100 150 200 250

0 10 20 30 40 50 60 70 80 90 100

RM mil.

Malaysia-Pakistan Closer Economic Partnership Agreement (MPCEPA)

0 1 2 3 4 5 6 7 8 9

0.00 0.05 0.10 0.15 0.20 0.25 0.30 0.35

RM mil.

Malaysia-New Zealand Free Trade Agreement (MNZFTA)

0 20 40 60 80 100 120

0 200 400 600 800 1,000 1,200

RM mil.

Malaysia-Chile Free Trade Agreement (MCFTA)

0 100 200 300 400 500 600

0 50 100 150 200 250 300 350

RM mil.

Malaysia-India Comprehensive Economic Cooperation Agreement (MICECA)

0 50 100 150 200 250 300 350 400 450 500

0 5 10 15 20 25 30 35 40 45

RM mil.

Malaysia-Australia Free Trade Agreement (MAFTA)

0 50 100 150 200 250 300

0 20 40 60 80 100 120 140 160

RM mil.

Malaysia-Turkey Free Trade Agreement (MTFTA)

Note: *Provisional Data Source: Ministry of International Trade and Industry, Malaysia

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Source : Bank Negara Malaysia

Malaysian Ringgit Exchange Rate with Selected Countries, January 2018 - August 2019

US Dollar

Philippine Peso

Vietnamese Dong

Hong Kong Dollar

Indonesian Rupiah

Indian Rupee

3.9578

3.8862

4.1881

3.70 3.75 3.80 3.85 3.90 3.95 4.00 4.05 4.10 4.15 4.20 4.25

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug

2018 2019

RM

USD 1 = RM

7.8384

7.4635

8.0670 8.0305

6.50 6.70 6.90 7.10 7.30 7.50 7.70 7.90 8.10 8.30

2018 2019

RM

PHP 100 = RM

0.0174

0.0171

0.0180 0.0180

0.0164 0.0166 0.0168 0.0170 0.0172 0.0174 0.0176 0.0178 0.0180 0.0182

2018 2019

RM

VND 100 = RM

50.6090

49.5163

53.4695 53.4177

47.00 48.00 49.00 50.00 51.00 52.00 53.00 54.00

2018 2019

RM

HKD 100 = RM

0.0296

0.0274

0.0294

0.025 0.026 0.026 0.027 0.027 0.028 0.028 0.029 0.029 0.030 0.030

2018 2019

RM

IDR 100 = RM

6.2202

5.6504

5.8902

5.50 5.60 5.70 5.80 5.90 6.00 6.10 6.20 6.30

2018 2019

RM

INR 100 = RM

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2.1%*

US$60.2

1.1%*

US$45.1

10.8%*

US$1,518.8

%*

US$280.0 (high)

13 September 2019 %*

US$250.0 (low)

Sources: Ministry of International Trade and Industry Malaysia, Malaysian Palm Oil Board, Malaysian Rubber Board, Malaysian Cocoa Board, Malaysian Iron and Steel Industry Federation, and Bloomberg.

Commodity Prices

Notes: All figures have been rounded to the nearest decimal point * Refer to % change from the previous week’s price i Average price in the year except otherwise indicated

CRUDE PETROLEUM (BRENT) -per bbl-

13 September 2019

CRUDE PALM OIL -per MT-

0.7%*

US$566.0

13 September 2019

RUBBER SMR 20 -per MT-

0.1%*

US$1,351.0

COCOA SMC 2 -per MT-

COAL -per MT-

SUGAR -per lbs-

8.3%*

US$11.9

SCRAP IRON HMS -per MT-

5 Oct 2018 : US$84.2

Highest

2018/2019

17 May 2019 : US$72.2

9 Aug 2019 : US$54.5 28 Dec 2018 : US$52.2

Lowest 2018/2019

9 Mar 2018 : US$691.5

Highest

2018/2019

6 Sep 2019 : US$570.0

26 July 2019 : US$488.5 23 Nov 2018 : US$448.5

Lowest 2018/2019 Average Price 2018

ⁱ

: US$71.5 Average Price 2018

ⁱ

: US$600.1

Average Price 2018

ⁱ

: US$1,371.0 Average Price 2018

ⁱ

: US$1,535.6 Average Price 2018

ⁱ

: US ¢ 12.3

Average Price 2018

ⁱ

: US$380.7 (high) Average Price 2018

ⁱ

: US$359.6 (low) Average Price 2018

ⁱ

: US$66.9

Domestic Prices

13 September 2019

Steel Bars

(per MT)

RM1,870– RM2,020

Billets

(per MT) RM1,800 - RM2,000

13 September

2019 13 September

2019 13 September 2019

13 September 2019

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Commodity Price Trends

Sources: Ministry of International Trade and Industry Malaysia, Malaysian Palm Oil Board, Malaysian Rubber Board, Malaysian Cocoa Board, Malaysian Pepper Board, Bloomberg and Czarnikow Group, World Bank, World Gold Council, The Wall Street Journal.

1,605.51,614.11,623.3

1,606.01,620.1

1,552.7

1,444.8

1,344.71,354.4 1,308.6

1,370.6 1,518.8

1,300 1,350 1,400 1,450 1,500 1,550 1,600 1,650 1,700

28 June 5 July 12 July 19 July 26 July 2 Aug 9 Aug 16 Aug 23 Aug 30 Aug 6 Sep 13 Sep

US$/mt

Cocoa

2,472 2,475 2,437

2,385 2,379 2,359

2,341

2,226

2,116 2,089

2,073 2,066 2,000.0

2,100.0 2,200.0 2,300.0 2,400.0 2,500.0 2,600.0

US$/mt

Pepper

1,482.0 1,456.0

1,402.5 1,425.5 1,424.0

1,315.01,326.51,315.5 1,295.0 1,295.5

1,352.0 1,351.0

1,200 1,250 1,300 1,350 1,400 1,450 1,500 1,550 1,600

US$/mt

Rubber SMR 20

57.5 57.5 60.2

55.6 56.2 55.7 58.5

54.9 54.2 55.1 56.5

54.9 66.6

64.2 66.7

62.5 63.5 61.9

54.5

58.6 59.3 60.4 61.5

60.2

40 45 50 55 60 65 70

US$/bbl

Crude Petroleum

Crude Petroleum (WTI)/bbl Crude Petroleum (Brent)/bbl 502.5

505.5 498.5

489.5 488.5

506.5 507.0 519.5

531.0 553.0

570.0 566.0

485 495 505 515 525 535 545 555 565 575

US$/mt

Crude Palm Oil

12.6

12.4 12.3

11.6

12.0 12.0 11.9

11.6 11.5

11.1 11.0

11.9

10.5 11.0 11.5 12.0 12.5 13.0

US¢/lbs

Sugar

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15.3 15.0

15.3

16.2 16.4 16.3 16.9 17.1

17.4 18.3

18.1

17.6

14.2 14.7 15.2 15.7 16.2 16.7 17.2 17.7 18.2 18.7

US$/oz

Silver

45.3 44.7

45.3 46.3

45.7 46.4

48.2 48.7 48.4

49.1 49.0 48.3

40.0 41.0 42.0 43.0 44.0 45.0 46.0 47.0 48.0 49.0 50.0

US$/g

Gold

Sources: Ministry of International Trade and Industry Malaysia, , Malaysian Iron and Steel Industry Federation, Bloomberg and Czarnikow Group, World Bank, World Gold Council, The Wall Street Journal.

2,069 2,255 2,300 2,238 2,082 2,052 2,026 2,030 1,939 1,920 1,854 1,863 1,871 1,845 1,781 1,756 1,797 1,741

1,400 1,500 1,600 1,700 1,800 1,900 2,000 2,100 2,200 2,300 2,400

Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug

2018 2019

US$/ tonne

Aluminium

6,799 6,852 6,825 6,966 6,251 6,051 6,051 6,220 6,196 6,075 5,939 6,300 6,439 6,438 6,018 5,882 5,941 5,709

4,000 4,500 5,000 5,500 6,000 6,500 7,000 7,500

2018 2019

US$/ tonne

Copper

13,393 13,938 14,366 15,106 13,794 13,411 12,510 12,315 11,240 10,835 11,523 12,685 13,026 12,773 12,016 11,944 13,546 15,749

7,000 8,000 9,000 10,000 11,000 12,000 13,000 14,000 15,000 16,000 17,000

2018 2019

US$/ tonne

Nickel

Commodity Price Trends

70.35 65.75 66.10 65.04 64.56 67.15 68.44 73.41 73.26 69.15 76.16 88.22 86.47 93.70 100.15 108.94 120.24 93.07

50.0 60.0 70.0 80.0 90.0 100.0 110.0 120.0 130.0

2018 2019

US$/dmtu

Iron Ore

841.1

811.4 834.6

852.1 867.8

853.0 863.8

851.5 855.3 931.7

958.5 952.2

800.0 820.0 840.0 860.0 880.0 900.0 920.0 940.0 960.0

US$/oz

Platinum

330.0 320.0

350.0

320.0 320.0 320.0 320.0

300.0 300.0 300.0 300.0 300.0

280.0 280.0 300.0

290.0 330.0

290.0 290.0 290.0 290.0

280.0 280.0 280.0 270.0 270.0

250.0 250.0 240

260 280 300 320 340 360

14 June21 June28 June 5 July 12 July 19 July 26 July 2 Aug 9 Aug 16 Aug23 Aug30 Aug 6 Sep 13 Sep

US$/mt

Scrap Iron

Scrap Iron/MT (High) Scrap Iron/MT(Low)

54.354.1 54.1 53.8 53.8 53.8 53.6

48.8 48.3

46.6

45.6 45.1 44.0

45.0 46.0 47.0 48.0 49.0 50.0 51.0 52.0 53.0 54.0 55.0 56.0

US$/t

Coal

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MITI PROGRAMMES

MITI Minister at Fire Extinguisher Demonstration

at MITI Tower , 13 September 2019

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MITI PROGRAMMES

The MITI Consultative Dialogue 2019 was officiated by MITI Minister

12 September 2019

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Approved Permit - is an import and export license issued by the Permit Issuing Agencies (PIAs) based on

the Customs Act 1967. The Malaysian Aerospace Council chaired by YB Minister MITI provides the vision and direction for the overall development plan of the national aerospace industry. It also provides policy guidelines and identify priority areas of aerospace activities in Malaysia. Members of the Council consists of Government and industry players.

MAC:

ML: Manufacturing License - The Industrial Coordination Act, 1975 requires person(s) engaging in any manufacturing activity with shareholders’

funds of RM2.5 million and above or employing 75 or more full-time paid employees to obtain a Manufacturing Licence.

Mesyuarat Mingguan Besi Keluli – A technical committee under the Jawatankuasa Pengecualian Cukai 3 (JPC3) to evaluate import duty exemption applications for raw materials of iron and steel products.

MMBK:

Maintenance, repair and overhaul - includes preservation, and the replacement of parts the sub- sector under MRO consist of airframe heavy maintenance, line maintenance, modification, engine overhaul and component MRO.

MRO:

MSI: Malaysia Steel Institute – The Malaysia Steel Institute (MSI) is an industry driven institute under MITI. MSI’s role among others, is to collaborate with the Government in planning the growth and development of the iron and steel industry.

MSA:

Malaysia Steel Association - The association was launched on 2 November 2010 with the objective of upholding the interests of upstream steel companies, consolidating their strengths and providing a platform for the exchange of knowledge to achieve mutual goodwill, cooperation and unity for the benefit of all members in the Malaysian steel industry.

G L O S S A RY

Source: http://www.miti.gov.my /index.php/glossary

Malaysia Aerospace Industry Association is a non-governmental organisation and functions to support and represent the voice of Malaysian companies in the aerospace sector.

MAIA:

Licensed Manufacturing Warehouse (Gudang Pengilangan Berlesen (GPB)) - In Malaysia, a Manufacturing Bonded Warehouse is known as Licensed Manufacturing Warehouse established under the provision of section 65/65A of the Customs Act 1967.

An LMW is a manufacturing unit (factory) granted to any person for warehousing and manufacturing approved products on the same premise. It is primarily intended to cater for export oriented industries. Customs duty exemption is given to all raw materials and components used directly in the manufacturing process of approved produce from the initial stage of manufacturing until the finished product is finally packed ready for export.

LMW:

Malaysia Steel Council - The Malaysia Steel Council was established in 2012 and is chaired by YB Minister MITI. The objectives of MSC are to oversee, develop and continuously align the implementation milestones and roadmap including governance mechanism, towards ensuring the competitiveness of the iron and steel industry in Malaysia.

MSC:

Malaysia-Pakistan Closer Economic Partnership Agreement - Malaysia and Pakistan established the Malaysia-Pakistan Closer Economic Partnership Agreement (MPCEPA) on 8 November 2007. MPCEPA came into force on 1 January 2008. The MPCEPA encompasses liberalisation in trade in goods and services, investment, as well as bilateral technical cooperation and capacity building in areas such as sanitary and phytosanitary measures, intellectual property protection, construction, tourism, healthcare and telecommunications.

MPCEPA:

Malaysian Iron and Steel Industry Federation - MISIF is the national industry association for manufacturers of iron and steel products. The primary function of MISIF is to assist and support members in carrying out their business efficiently and successfully.

MISIF:

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For more information, kindly click the following links:

https://www.miti.gov.my/index.php/pages/view/industry4WRD?mid=559#tab_547_2202

All you need to know...

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All you need to know...

For more information, kindly click the following links:

https://www.miti.gov.my/index.php/pages/view/industry4WRD

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For more information, kindly click the following links:

http://www.miti.gov.my/index.php/pages/view/4761Vintage_English.pdf

ANNOUNCEMENTS

For more information, kindly click the following links:

https://www.miti.gov.my/index.php/pages/view/aki?mid=535

ANNOUNCEMENTS

NO DATE VENUE TOPIC

1 19 September

(Thursday) MITI PERAK Introduction to FTA &

Preferential Certificate of Origin (PCO) 2 17 October

(Thursday) MITI HQ (SEMINAR 1) 3 14 November

(Thursday) MITI

KELANTAN

Tentative Schedule for MITI Pocket Talks 2019 For more information, kindly click the following links:

https://www.miti.gov.my/miti/resources/Approve%20Permit/AP%20Announcement/Notice_for_

Application_of_Personal_Vehicle_Import_License_(AP)_(15072019)_BI.pdf

For more information, kindly click the following links:

https://www.miti.gov.my/index.php/pages/view/5539

For more information please contact the secretariat:

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