KUALA LUMPUR (June 4): Malaysia’s exports declined 23.8% to RM64.9 billion in April 2020 from a year earlier due to the shutdown of the majority of the country’s economic sectors since March 18 to curb the spread of the Covid-19 pandemic, the Statistics Department said today.

In a statement today, the department said the country’s imports decreased 8% to RM68.4 billion.

"Malaysia's exports plunged faster than imports to RM64.9 billion, lower by 23.8% resulting in a trade deficit of RM3.5 billion," it said.

The department's chief statistician Datuk Seri Dr Mohd Uzir Mahidin said in the statement that in April 2020, Malaysia's imports exceeded the value of its exports mainly due to the lumpy imports which were valued at RM10.1 billion, resulting in a trade deficit of RM3.5 billion.

“Malaysia’s exports in April 2020, registered a decline of 23.8% to RM64.9 billion year-on-year (y-o-y) which was the largest decline since September 2009 during the global financial crisis in 2009. "This was the first month of trade deficit since October 1997. Meanwhile, Malaysia's total trade stood at RM133.3 billion, decreasing 16.4% y-o-y. This glooming situation can be also observed in the number of transactions, which amounted to 11.7 million transactions for the period of January to April 2020 compared with 14.3 million transactions for the same period last year. However, based on early indicators, Malaysia's trade may rebound favourably in May 2020 as businesses resume their operations," Mohd Uzir said.

According to the department's statement, the main products which contributed to the decline in exports included electrical and electronics, refined petroleum and timber-based items besides palm oil-based products. Lower sales of crude petroleum, liquefied natural gas, and natural rubber also led to the decline in the country's total exports, according to the department.

Meanwhile, the decrease in the nation's imports was contributed by lower purchases of intermediate and consumption goods. The department said imports of intermediate and consumption goods decreased RM12.5 billion and RM793.5 million respectively while purchases of capital goods increased RM6.1 billion.

“[In geographical terms] the Department of Statistics, Malaysia also reported that the decrease in exports was attributed to lower exports to the European Union (-RM2.7 billion), the United States (-RM2.4 billion), India (-RM2.3 billion), Singapore (-RM2.0 billion) and Thailand (-RM2.0 billion). However, exports increased to China (+RM488.1 million).

"Lower imports were mainly from Singapore (-RM2.5 billion), the European Union (-RM2.1 billion), Thailand (-RM1.7 billion), Saudi Arabia (-RM1.6 billion) and Japan (-RM906.9 million). Meanwhile, higher imports were from Republic of Korea (+RM9.9 billion) due to imports of floating structures,” it said.

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