volume 505 weekly...miti tower, no. 7, jalan sultan haji ahmad shah, 50480 kuala lumpur, malaysia...

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VOLUME 505

MINISTRY OF INTERNATIONAL TRADE AND INDUSTRYWeekly

B U L L ET I N9 October 2018 | NO. ISSN : 2180-0448

Congratulations

on being conferred

YB. DATUK IGNATIUS DARELL LEIKINGMINISTER OF

INTERNATIONAL TRADE & INDUSTRY

Darjah KebesaranPanglima Gemilang Darjah Kinabalu(PGDK)

in conjunction with Official Birthday the Governor of Sabah

6 October 2018


MALAYSIA EXTERNAL TRADETRADE PERFORMANCE FOR THE MONTH OF AUGUST 2018

AND THE PERIOD OF JANUARY- AUGUST 2018

Exports Sustained Above RM80 Billion Mark

Malaysia registered a total trade of RM162.01 billion in August 2018, a steady increase of 5.1% from RM154.14 billion in August 2017. Expansion in trade were seen with major trading partners, namely China, Hong Kong SAR, Taiwan, Saudi Arabia, the Republic of Korea (ROK), ASEAN, the United States of America (USA) and the European Union (EU).

Exports in August 2018 remained above RM80 billion mark, totalling RM81.81 billion, a marginal contraction of 0.3% from RM82.02 billion recorded in the same month last year. Malaysia’s imports recorded a new high of RM80.2 billion, increasing by 11.2% year-on-year (y-o-y). This resulted in a 83.7% contraction in trade surplus to RM1.61 billion. This trade surplus marked the 250th consecutive month of trade surplus since November 1997.

On a month-on-month (m-o-m) basis, imports expanded by 3% while total trade,exports and trade surplus contracted by 1.2%, 5% and 80.7%, respectively.

For the first 8 months of 2018, total trade expanded by 6% to RM1.231 trillion compared to the same period in 2017. Exports increased by 6.3% to RM650.56 billion while imports

grew at a slower pace of 5.6% to RM580.11 billion. Trade surplus for this period rose by 11.9% to RM70.45 billion compared to the same period last year.

Export Performance of Major Sectors

Manufactured & Mining Goods Led Exports in August 2018

Exports of manufactured goods which accounted for 83.7% of Malaysia’s total exports increased by 1.8% y-o-y to RM68.5 billion in August 2018. The expansion was driven mainly by higher exports of electrical and electronic (E&E) products, chemicals and chemical products, iron and steel products as well as optical and scientific equipment.

Exports of mining goods which constituted 9.1% of Malaysia’s total exports, rose by 5.5% to RM7.47 billion. Higher exports were recorded for crude petroleum which increased by 64.9% or RM1.3 billion, due to higher Average Unit Value (AUV) and export volume.

Exports of agriculture goods which accounted for 6.5% of total exports contracted by 20.8% to RM5.3 billion. This was due to lower exports of palm oil and palm oil-

based agriculture products, particularly palm oil, which decreased by 26.8% or RM1.02 billion. This was on account of lower export volume and AUV for palm oil.

Major exports in August 2018:

•E&E products valued at RM32.04 billion, constituting 39.2% of total exports,increased by 3.2% from August 2017;

•Petroleum products, RM5.07 billion, 6.2% of total exports, decreased by 3.3%;

•Chemicals and chemical products, RM4.99 billion, 6.1% of total exports, increased by 22.6%;

•Manufactures of metal, RM3.32 billion, 4.1% of total exports, decreased by 1.8%;and

•Palm oil and palm oil-based agriculture products, RM3.31 billion, 4% of total exports, decreased by 27%.

Compared to July 2018, exports of mining goods were higher by 1.8%, while manufactured and agriculture goods were lower by 6% and 3.5%, respectively.

In the first 8 months of 2018, exports of manufactured goods which constituted 83.7% of total exports expanded by 8.9% to RM544.21 billion compared to

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exports of E&E products and crude petroleum, Viet Nam (↑RM152.5 million, E&E products) and the Philippines (↑RM70.8 million, crude petroleum).

On a m-o-m basis, imports were greater by 3.6%, while trade and exports were lower by 1.8% and 6%, respectively.

For the first 8 months of 2018, trade with ASEAN expanded by 3.7% to RM331.7 billion compared to the same period of 2017. Exports to this region rose by 3% to RM184.96 billion buoyed by higher exports of E&E products, crude petroleum, manufactures of metal and transport equipment. Imports increased by 4.6% to RM146.74 billion.

E&E Products Led Exports to China for the First 8 Months In August 2018, trade with China which absorbed 17.7% of Malaysia’s total trade expanded by 13.7% y-o-y to RM28.7 billion. Exports to China recorded a 4.5% growth to RM11.83 billion compared to the year before. This was attributed to higher exports of chemicals and chemical products, LNG, E&E products, crude petroleum and optical and scientific equipment. Imports from China were up by 21.1% to RM16.87 billion.

Compared to July 2018, trade and imports were higher by 1.4% and 9.6% respectively, while exports contracted by 8.5%.

Trade with China in the first 8 months of 2018 expanded by 9.6% to RM206.19 billion compared to the same period last year. Exports to China were stronger by 11% to RM89.31 billion, attributed to higher exports of E&E products, chemicals and chemical products, manufactures of metal as well as optical and scientific equipment. Imports from China rose by 8.5% to RM116.88 billion.

Exports to the EU Remained Positive for the First 8 Months

Malaysia’s trade with the EU in August 2018 stood at RM15.69 billion or 9.7% of Malaysia’s total trade, an increment of 4% y-o-y. Exports decreased by 8.9% to RM7.64 billion, stemming from lower exports of E&E products, palm oil and palm oilbased agriculture products as well as textiles, apparels and footwear. However, among the products which registered higher exports were manufactures of metal, rubber products as well as iron and steel products. Imports were higher by 20.1% to RM8.05 billion.

Among the top 10 EU markets which accounted for 89.3% of Malaysia’s total exports to the EU, 5 countries registered positive growth namely, the Czech Republic (↑69.2%), France (↑9.9%), Italy (↑7.4%), Poland (↑19.1%) and Belgium (↑0.4%).

On a m-o-m basis, trade and imports increased by 0.02% and 9.4% respectively, while exports decreased by 8.3%.In January-August 2018, trade with the EU rose by 9.2% to RM123.61 billion compared to the same period last year. Exports increased by 5.5% to RM66.34 billion,

on account of higher exports of manufactures of metal, chemicals and chemical products, iron and steel products as well as rubber products. Imports from the EU were up by 13.9% to RM52.27 billion.

Positive Trade Growth With the USA for August 2018

Malaysia’s trade with the USA in August 2018 recorded a growth of 4.6% to RM13.9 billion or accounted for 8.6% of Malaysia’s total trade. Exports totalled RM7.79 billion, contracted by 2%. This was underpinned by lower exports of E&E products, palm oil and palm oil-based agriculture products as well as transport equipment. However, rubber products, optical and scientific equipment, petroleum products as well as chemicals and chemical products were among the products that registered increases in exports to the USA. Imports expanded

MITI Weekly Bulletin | www.miti.gov.my

the corresponding period of 2017. Higher exports were recorded for E&E products, manufactures of metal, chemicals and chemical products, optical and scientific equipment as well as transport equipment. Exports of mining goods increased by 3.4% to RM55.87 billion (8.6% share), supported mainly by higher exports of crude petroleum.Meanwhile, exports of agriculture goods contracted by 13.9% to RM44.92 billion (6.9% share), owing to lower exports of palm oil and palm oil-based agriculture products.

Performance of Major Markets

Steady Trade Growth With ASEAN

Trade with ASEAN constituted 26.8% of Malaysia’s total trade, expanding by 1.7% y-o-y to RM43.42 billion. Exports amounted to RM23.16 billion, an increase of 0.6%,due to higher exports of E&E products, crude petroleum, iron and steel products as well as manufactures of metal. Imports from ASEAN rose by 2.9% to RM20.26 billion.

Breakdown of exports to ASEAN countries in August 2018:

•Singapore RM 11.78 billion, decreased by 2.2%

•Thailand RM 4.61 billion, ↑15.6%

• Viet Nam RM 2.38 billion, ↑6.9%• Indonesia RM 2.34 billion, ↓12.5%• Philippines RM 1.52 billion, ↑4.9%• Myanmar RM 221.1 million, ↓21.5%• Brunei RM 181.9 million, ↓14.4%

Exports to 3 markets within ASEAN recorded expansion namely, Thailand, which expanded by RM620.9 million on account of higher

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by 14.4% to RM6.11 billion.

Compared to July 2018, trade, exports and imports were stronger by 3.1%, 0.6% and 6.6%, respectively.

In January-August 2018, trade with the USA amounted to RM101.5 billion, contracting by 1.5% compared to the corresponding period in 2017. Exports to the USA were up by 1.2% to RM59.18 billion supported by higher exports of optical and scientific equipment, manufactures of metal as well as transport equipment. Imports from the USA declined by 5% to RM42.32 billion.

Lower Exports of LNG and E&E Products to Japan Trade with Japan in August 2018 which constituted 6.4% of Malaysia’s total trade or RM10.31 billion, contracting by 11.8% y-o-y. Exports to Japan declined by 22.9% y-o-y to RM4.79 billion.

The decline was attributed mainly to lower exports of LNG and E&E products. However, higher exports were recorded for chemicals and chemical products, iron and steel products, wood products, processed food as well as non-metallic mineral products. Imports from Japan increased by 0.9% to RM5.52 billion.

On a m-o-m basis, trade and exports decreased by 3.9% and 10.5%, while imports rose by 2.7%.

Trade with Japan for the first 8 months of 2018 amounted to RM87.24 billion, lower by 5.6% from the same period last year. Exports to Japan amounted to RM45.19 billion, contracted by 10.9% on account of lower exports of LNG, E&E products as well asoptical and scientific equipment. Meanwhile, higher exports were registered for chemicals and chemical products, iron and steel products, manufactures of metal, petroleum products as well as non-metallic mineral products. Imports from Japan grew marginally by 0.8% to

RM42.05 billion.

Trade with FTA Partners

In August 2018, trade with Free Trade Agreement (FTA) partners rose by 2.9% to RM100.22 billion and accounted for 61.9% of Malaysia’s total trade. Exports to FTA partners amounted to RM50.26 billion, lower by 1.4% and imports expanded by 7.5% to RM49.96 billion.

Higher exports were registered to the Republic of Korea (ROK), increasing by 30.2% to RM3.05 billion, attributed mainly to higher exports of E&E products and petroleum products, Australia (↑11.4% to RM2.98 billion, crude petroleum) and New Zealand (↑22.4% to RM545.1 million, crude petroleum).

Compared to July 2018, imports rose by 3.1%, while trade and exports were lower by 1.9% and 6.4% respectively.

Trade with FTA partners for the first 8 months of 2018 rose by 3.6% to RM765.3 billion and accounted for 62.2% of Malaysia’s total trade. Exports amounted to RM399.16billion, an increase of 3.2% while imports totalled RM366.14 billion, expanding by4.1%.

Other Markets Registering Higher Exports

In August 2018, other markets with significant growth in exports were Hong Kong SAR and Taiwan. Exports to Hong Kong SAR expanded by 55.8% y-o-y to RM5.9 billion, driven mainly by higher exports of E&E products. Exports to Taiwan rose by 18.7% to RM3.14 billion, buoyed mainly by higher exports of E&E products as well as optical and scientific equipment.

Domestic Export PerformanceIn August 2018, domestic exports which accounted for 83.5% of Malaysia’s total exports declined by 4.1% y-o-y

to RM68.33 billion. However, based on a m-o-m basis, domestic exports were higher by 1.2%. During the first 8 months of 2018, domestic exports contracted marginally by 0.7% to RM518.29 billion.

Re-export PerformanceIn August 2018, re-exports were valued at RM13.48 billion, an expansion of 24.7% yo-y.On a m-o-m basis, re-exports contracted by 27.7%. For January-August 2018, reexports expanded by 46.4% to RM132.27 billion.

Import Performance

In August 2018, imports increased by 11.2% y-o-y to RM80.2 billion. The three main categories of imports by end use which accounted for 79.5% of total imports were:

• Intermediate goods, valued at RM44.97 billion or 56.1% of total imports, increased by 4.3%, as a result of higher imports of processed industrial supplies, particularly iron and steel;

• Capital goods, valued at RM11.65 billion or 14.5% of total imports, expanded by 25.3%, led by higher imports of industrial transport equipment, particularly ships, boats and floating structure; and

•Consumption goods, valued at RM7.12 billion or 8.9% of total imports, rose by 14.2%, driven by higher imports of durable goods, particularly machinery, mechanical appliances and parts.

During January-August 2018, imports amounted to RM580.11 billion, grew by 5.6% from the corresponding period of 2017. Intermediate goods totalled RM305.48 billion, dropped by 5.1%, capital goods (RM75.41 billion, ↑2.3%) and consumptiongoods (RM48.02 billion, ↑3.1%).


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Malaysia and STMicroelectronics has formed a long standing partnership in the E&E industry since four decades ago. STMicroelectronics started off as one of the pioneer semiconductor multinational companies in Johor.

Today, STMicroelectronics Muar is a key manufacturing plant for ST Micro’s global assembly and test manufacturing. It is also the centre of excellence for development and manufacturing of automotive semiconductors with roughly 70% of the semiconductors produced in this plant dedicated to the automotive sector. ST Microelectronics Muar also produces a significant quantity of ST’s award winning 32bit Microcontrollers.

“In the July 2018 trade performance of Malaysia, the export of E&E products was valued at RM34.5 billion, constituting 40.1% of total exports, and increased by 23.6% from July 2017. With such strong performance, I am confident that STMicroelectronics has made the right decision to expand further here, as Malaysia is the gateway to many ASEAN and global markets.” said YB Darell Leiking.

YB Darell emphasised, “I am pleased that STMicroelectronics has invested significantly in Malaysia and provides employment to more than 4,400 people. STMicroelectronics’ partnership with Universiti Teknikal Malaysia Melaka to establish the ST IoT Lab in the Faculty of Electronics and

Official launching of STMicroelectronics 132kv substation project

Minister of International Trade and Industry, YB Datuk Darell Leiking officially launched STMicroelectronicsSdn.

Electrical Engineering is a good example of public-private collaboration efforts that should be emulated.Through such initiatives, industry-ready talents can be developed to match the growing demand of the E&E players. Retraining and reskilling the current workforce will address the skills gap to meet the demand of higher value jobs in line with adoption of Industry 4.0.”

The National Industry 4.0 Policy formulated by MITI together with various related Ministries, Agencies and the industry will be launched soon. The Government is continuously undertaking various effort to assist industry players, especially SMEs, in embracing Industry 4.0 through automation and smart manufacturing.

As business trends evolve with the rise of new and disruptive technologies, there is a need to transform and up-scale productions or risk losing out in capturing market opportunities. To remain competitive in an ever changing business landscape, companies are urged to be bold in marching towards Industry 4.0 and beyond.

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Malaysia's Trade PerformanceJanuary - August 2018

Urban

Mal

aysi

a St

atis

tics 6.3% 5.6%

Jan-Aug 2018 RM650.6 billion

Jan-Aug 2017RM612.2 billion

ExportsJan-Aug 2018

RM580.1 billionJan-Aug 2017

RM549.3 billion

Imports

Total Trade: 6.0% Jan-Aug 2018 : RM1,230.7 billion Jan-Aug 2017 : RM1,161.5 billion

Exports increased by 6.3% to RM650.6 billionfor the period of Jan-Aug 2018 compared to the same period last year

Top major trading partners

Trade Volume

9.6%

RM206.2 billion

Trade Volume

4.4%

RM155.4 billion

1.5%

RM101.5 billion

5.6%

RM87.2billion

7.3%

RM69.8billion

PRC Singapore

USA Japan

Thailand

Source : Department of Statistics, Malaysia

Trade Volume Trade Volume

Trade Volume



Mal

aysi

a St

atis

tics

Exports PerformanceJanuary - August 2018

Domestic exports contributed 79.7% to Malaysia's export for Jan-Aug 2018

ExportsRM650.6 billion

Domestic exportsRM518.3 billion

Re-exportsRM132.3 billion

Major demostic exports by product

5.4%

Major re-exports by Product

Electrical & electronic productJan-Aug 2018: RM184.6 bilJan-Aug 2017: RM195.2 bil

Chemicals & chemical productsJan-Aug 2018: RM32.7 bilJan-Aug 2017: RM27.7 bil

18.2%Machinery, Equipment & Parts

Jan-Aug 2018: RM24.4 bilJan-Aug 2017: RM23.3 bil

4.6%

Palm oil & palm oil based agriculture productsJan-Aug 2018: RM29.5 bilJan-Aug 2017: RM35.0 bil

15.7%LNG


12.0%

Source : Department of Statistics, Malaysia

Electrical & electronic productJan-Aug 2018: RM61.0 bilJan-Aug 2017: RM25.5 bil

Petroleum ProductsJan-Aug 2018: RM31.5 bilJan-Aug 2017: RM32.3 bil

2.5%139.4%Metalliferous ores and metal scrap


5.3%

Manufactures of MetalJan-Aug 2018: RM10.0 bilJan-Aug 2017: RM5.0 bil

98.8%Chemicals & chemical products


22.8% Notes: % - Year-on-Year Growth



Inte

rnat

iona

l St

atis

tics

Notes : - % Share in Malaysia’s export - *Refers to HS 440349

Source: http://www.trademap.org/Index.aspx

Note: - % Share in world exports

Malaysia was ranked number one exporter of tropical wood specified in the subheading note 1 to this chapter in the rough, whether or not stripped of

bark or sapwood, or roughly squared* in 2017

4

MALAYSIAUS$ 133.6 mil

17.3%

1 32 5

SOLOMON ISLANDS

US$ 70.1 mil9.1% GHANA

US$ 56.6 mil7.3%

PAPUA NEW GUINEA

US$ 82.1 mil10.6%CONGO

US$ 60.2 mil7.8%

Malaysia’s Top Five Export Destinations for tropical wood specified in the subheading note 1 to this chapter in the rough, whether or not stripped of

bark or sapwood, or roughly squared*, In 2017

CHINESE TAIPEIUS$4.8 mil

3.6%

PRCUS$6.1 mil

4.6%

JAPANUS$8.8 mil

6.6%

INDONESIAUS$27.5 mil

20.6%

INDIAUS$78.2 mil

58.6%



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

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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)

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ASEAN-Korea Free Trade Agreement (AKFTA)


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ASEAN-Japan Comprehensive Economic Partnership (AJCEP)


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ASEAN-India Free Trade Agreement (AIFTA)


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




Number and Value of Preferential Certificates of Origin (PCOs)

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Malaysia-Japan Economic Partnership (MJEPA)


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Malaysia-Pakistan Closer Economic Partnership (MPCEPA)


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Malaysia-New Zealand Free Trade Agreement (MNZFTA)


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Malaysia-Chile Free Trade Agreement (MCFTA)


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Malaysia-India Comprehensive Economic Cooperation Agreement (MICECA)


0

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Malaysia-Australia Free Trade Agreement (MAFTA)


0

50

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Malaysia-Turkey Free Trade Agreement (MTFTA)


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



Source : Bank Negara, Malaysia

Malaysian Ringgit Exchange Rate with Selected Countries,January 2017 - August 2018

US Dollar

Pakistani Rupee

Egyptian Pound

Cambodian Riel

Nepalese Rupee

United Arab Emirates Dirham

4.4596

3.8862

4.0917

3.50

3.60

3.70

3.80

3.90

4.00

4.10

4.20

4.30

4.40

4.50

4.60

Jan

Feb

Ma

r

Apr

Ma

y

Jun Jul

Aug Se

p

Oct

Nov

Dec Ja

n

Feb

Ma

r

Apr

Ma

y

Jun Jul

Aug

2017 2018

RM

USD 1 = RM

4.2561

3.2476

3.3144

3.00

3.20

3.40

3.60

3.80

4.00

4.20

4.40

Jan

Feb

Ma

r

Apr

Ma

y

Jun Jul

Aug Se

p

Oct

Nov

Dec Ja

n

Feb

Ma

r

Apr

Ma

y

Jun Jul

Aug

2017 2018

RM

PKR 100 = RM

0.2391

0.2639

0.2198

0.2288

0.17

0.18

0.19

0.20

0.21

0.22

0.23

0.24

0.25

0.26

0.27

Jan

Feb

Ma

r

Apr

Ma

y

Jun Jul

Aug Se

p

Oct

Nov

Dec Ja

n

Feb

Ma

r

Apr

Ma

y

Jun Jul

Aug

2017 2018

RM

EGP 1 = RM

0.1108

0.0964

0.1001

0.085

0.090

0.095

0.100

0.105

0.110

0.115

Jan

Feb

Ma

r

Apr

Ma

y

Jun Jul

Aug Se

p

Oct

Nov

Dec Ja

n

Feb

Ma

r

Apr

Ma

y

Jun Jul

Aug

2017 2018RM

KHR 100 = RM

4.0931

4.2657

3.7005

3.6811

3.30

3.40

3.50

3.60

3.70

3.80

3.90

4.00

4.10

4.20

4.30

4.40

Jan

Feb

Ma

r

Apr

Ma

y

Jun Jul

Aug Se

p

Oct

Nov

Dec Ja

n

Feb

Ma

r

Apr

Ma

y

Jun Jul

Aug

2017 2018

RM

NPR 100 = RM

121.4188

105.8030

111.3939

95.0

100.0

105.0

110.0

115.0

120.0

125.0

Jan

Feb

Ma

r

Apr

Ma

y

Jun Jul

Aug Se

p

Oct

Nov

Dec Ja

n

Feb

Ma

r

Apr

Ma

y

Jun Jul

Aug

2017 2018

RM

AED 100 = RM



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-

1.7%*US$84.2

5 Oct 2018

CRUDE PALM OIL -per MT-

2.8%*US$547.5

5 Oct 2018

RUBBER SMR 20 -per MT-

0.3%*US$1,339.5

5 Oct 2018

COCOA SMC 2 -per MT-

1.9%* US$1,350.9 5 Oct 2018

COAL -per MT-

3.0%*US$77.8

5 Oct 2018

SUGAR -per lbs-

12.8%*US¢12.6

5 Oct 2018

SCRAP IRON HMS -per MT-

%*US$380.0

(high)

9 Oct 2018

%*US$350.0

(low)

29 Dec 2017 : US$66.9

Highest2017/2018

5 Oct 2018 : US$84.2

9 Feb 2018 : US$62.8 23 June 2017 : US$45.5

Lowest2017/2018

20 Jan 2017 : US$843.0

Highest2017/2018

9 Mar 2018 : US$691.5

24 Aug 2018 : US$532.5 30 June 2017 : US$650.0

Lowest2017/2018

Average Price 2017 i : US$55.0 Average Price 2017 i : US$719.7

Average Price 2017 i : US$1,646.6 Average Price 2017 i : US$1,439.0 Average Price 2017 i : US¢15.8

Average Price 2017 i : US$314.5Average Price 2017 i : US$57.2

Domestic Prices5 Oct 2018

Steel Bars(per MT)

RM2,380– RM2,530

Billets(per MT)

RM2,200– RM2,300



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.

1,463.5

1,489.2

1,408.5

1,311.4

1,303.6

1,423.5

1,448.6

1,472.2 1,472.9 1,476.6

1,376.6

1,350.9

1,200

1,250

1,300

1,350

1,400

1,450

1,500

1,550

20 July 27 July 3 Aug 10 Aug 17 Aug 24 Aug 30 Aug 7 Sep 14 Sep 21 Sep 28 Sep 5 Oct

US$

/mt

Cocoa

2,444

2,386

2,301

2,1902,152 2,150

1,984

1,868 1,866 1,8711,825 1,812

1,500.0

1,600.0

1,700.0

1,800.0

1,900.0

2,000.0

2,100.0

2,200.0

2,300.0

2,400.0

2,500.0


US$

/mt

Pepper

1,342.5

1,332.5

1,316.5

1,349.0

1,339.5

1,373.5

1,349.0

1,322.5

1,336.51,340.5

1,335.01,339.5

1,280

1,290

1,300

1,310

1,320

1,330

1,340

1,350

1,360

1,370

1,380


US$

/mt

Rubber SMR 20

70.568.7 68.5

67.665.9

68.769.8

67.869.0

70.8

73.374.3

73.174.3

73.2 72.871.8

75.877.4 76.8

78.1 78.8

82.784.2

50

55

60

65

70

75

80

85

90


US$

/bbl

Crude Petroleum

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

605.0

587.5

572.5570.5 569.0

545.0 545.0

562.5

566.5

558.0

532.5

547.5

530

540

550

560

570

580

590

600

610


US$

/mt

Crude Palm Oil

11.1

10.9 10.9

10.5

10.2 10.2

10.6

11.0

12.0

11.7

11.2

12.6

10.0

10.5

11.0

11.5

12.0

12.5

13.0


US¢

/lb

s

Sugar



15.8

15.5 15.5 15.5

15.3

14.6

14.9

14.6

14.2 14.1

14.4

14.7

13.0

13.5

14.0

14.5

15.0

15.5

16.0

13 July 20 July 27 July 3 Aug 10 Aug 17 Aug 24 Aug 31 Aug 7 Sep 14 Sep 21 Sep 28 Sep

US$

/oz

Silver

40.1

39.2

39.5

39.1 39.0

38.0

38.5 38.5 38.6 38.6

38.5

38.2

36.5

37.0

37.5

38.0

38.5

39.0

39.5

40.0

40.5


US$

/oz

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.

1,79

1 1,86

1

1,90

1

1,92

1

1,91

3

1,88

5

1,90

3

2,03

0 2,09

6

2,13

1

2,09

7

2,08

0

2,21

0

2,18

2

2,06

9

2,25

5 2,30

0

2,23

8

2,08

2

2,05

2

1,400

1,500

1,600

1,700

1,800

1,900

2,000

2,100

2,200

2,300

2,400

Jan

Feb

Mar

Apr

May Jun

Jul

Aug Se

p

Oct

No

v

Dec Jan

Feb

Mar

Apr

May Jun

Jul

Aug

2017 2018

US$

/ to

nn

e

Aluminium

5,75

5 5,94

1

5,82

5

5,68

4

5,60

0

5,72

0

5,98

5

6,48

6

6,57

7 6,80

8

6,82

7

6,83

4 7,06

6

7,00

7

6,79

9

6,85

2

6,82

5 6,96

6

6,25

1

6,05

1

4,000

4,500

5,000

5,500

6,000

6,500

7,000

7,500

Jan

Feb

Mar

Apr

May Jun Jul

Aug Se

p

Oct

No

v

Dec Jan

Feb

Mar

Apr

May Jun Jul

Aug

2017 2018

US$

/ to

nn

e

Copper

9,97

1 10,6

43

10,2

05

9,60

9

9,15

5

8,93

2 9,49

1

10,8

90

11,2

16

11,3

36

11,9

72

11,4

95

12,8

65 13

,596

13,3

93

13,9

38

14,3

66 15

,106

13,7

94

13,4

11

7,000

8,000

9,000

10,000

11,000

12,000

13,000

14,000

15,000

16,000

Jan

Feb

Mar

Apr

May Jun Jul

Aug Se

p

Oct

No

v

Dec Jan

Feb

Mar

Apr

May Jun Jul

Aug

2017 2018

US$

/ to

nn

e

Nickel

Commodity Price Trends

80

.41

89

.44

87

.65

70

.22

62

.43

57

.48

67

.74

76

.07

71

.53

61

.66

64

.24

72

.25 7

6.3

4

77

.46

70

.35

65

.75

66

.10

65

.04

64

.56

67

.15

30.0

40.0

50.0

60.0

70.0

80.0

90.0

100.0

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

2017 2018

US$

/dm

tu

Iron Ore

834.6 833.0836.0

840.6

833.2

780.3

792.8790.4

783.3

801.2

832.9

822.4

740.0

750.0

760.0

770.0

780.0

790.0

800.0

810.0

820.0

830.0

840.0

850.0


US$

/oz

Platinum

390.0 390.0

380.0 380.0 380.0 380.0 380.0 380.0 380.0 380.0 380.0 380.0

375.0 375.0

360.0 360.0 360.0 360.0 360.0 360.0 360.0 360.0 360.0 360.0

300

310

320

330

340

350

360

370

380

390

400


US

$/m

t

Scrap Iron

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

64.4 64.665.2 65.2 65.3 65.4

66.7

70.070.6

71.6 71.8

75.6

58.0

60.0

62.0

64.0

66.0

68.0

70.0

72.0

74.0

76.0

78.0


US

$/t

Coal



MIT

I PR

OG

RAM

MES

YB Minister of MITI received a courtesy visit by Minister of Communication and Information, Republic of Singapore and

Secretary General of ASEAN, 5th October 2018



MIT

I PR

OG

RAM

MES

YB Datuk Darell Leiking, MITI Minister at the launching of Kuala Lumpur International Aerospace Business Convention (KLIABC)

on 2nd October 2018



MIT

I PR

OG

RAM

MES

Official launch of substation project constructionSTMicroelectronics Sdn Bhd

1st October 2018


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

of Technical TermsTwin deficitsA situation where an economy is running both a fiscal deficit and a deficit on the current account of the balance of payments (BOP).

Unbound TariffTariff level of a product not notified to the WTO.

UnemployedRefers to both actively and inactively unemployed persons in the labour force. The actively unemployed include all persons who did not work during the reference week but were available for work and actively looking for work during the reference week. Inactively unemployed refers to persons who did not look for work because they believed no work was available or that they were not qualified, persons who would have looked for work if they had not been temporary ill or not had it not been for bad weather, persons who were waiting for answers to job applications and persons who had looked for work prior to the reference week.

Unemployment rate(Number of unemployed persons/ Number of persons in labour force) X 100

Unregulated sectorsThe working definition for unregulated services sector is services sectors that is not regulated by any act, regulations, government guidelines, government licensing requirement and are not supervised by any government agencies.

Value ChainThe process or activities by which a company adds value to an article, including production, marketing, and the provision of after-sales service.

Vertical ApproachApproach to address NTBs based on specific sectors. For example harmonization of standard in lighter.

Wafer FabricationProcedure composed of many repeated sequential processes to produce complete electrical or photonic circuits.

Withholding taxA tax that is collected at source, before the taxpayer has seen the income or capital to which the tax applies. In other words, that part of the income or capital due in tax is withheld from the taxpayer, who therefore cannot easily avoid paying the tax. Withholding taxes are frequently imposed on interest and dividends.

WOWholly Obtained

WTOWorld Trade Organization. Established on January 1, 1995, to replace the Secretariat of the General Agreement on Tariffs and Trade

WTO Ministerial MeetingThe WTO’s top decision-making body. Meeting of the full membership of the WTO once in two years.


The Ministry of International Trade and Industry (MITI) would like to invite proposals for the new National Car Project in Malaysia from interested parties.

The Malaysian automotive industry is an important and strategic part of our manufacturing sector. Automotive industry is vital for the country's growth and a new national car project would boost Malaysia's engineering and technological capabilities. The overall automotive industry and related sectors employs more than 700,000 people and contributes almost 4% to Malaysia’s GDP. With more than 25 manufacturing and assembly plants as well as experienced component producers, Malaysia is set to embark on the new national car project.

The project should not be limited to the development of manufacturing capabilities. It should be viewed holistically to include the entire value chain and the ecosystem that makes up the automotive industry. It needs to place emphasis on the development of Research and Development (R&D), new trends and technologies and further spur the growth of the automotive industry in Malaysia as well as other ASEAN Member States.

The New National Car project proposal has to be fully private sector driven with support from the Government in terms of facilitation and assistance based on the companies’ commitments.

Interested parties are welcome to submit proposals not later than 15 October 2018. Proposal can be submitted to:

YBhg. Datin K. TalagavathiDeputy Secretary General's Office (Industry)Ministry of International Trade and Industry

Level 28, MITI TowerNo. 7, Jalan Sultan Haji Ahmad Shah

50480 Kuala LumpurEmail: [email protected]

copy to: [email protected] | [email protected]

Any further enquiries can be directed to:

Puan Maizura Abdul Rashid (03-6200 0567) Encik Md Zakuan Arief Alias (03-6208 4623)


Announcements

New National Car Project



AnnouncementsTentative Schedule for MITI

Pocket Talks 2018No. Date Venue Topic

1 17-Oct MITI HQ

Introduction to FTA & Preferential Certificate of Origin (PCO)

2 14-Nov MITI Sabah


3 5-Dec MITI HQ


4 12-Dec MITI Sarawak


Please click here to register

Notification On Number Of Characters Allowed For Importing HS Code Under ATIGA For ASEAN Single Window (ASW)

Kindly be informed that number of characters allowed in EPCO system for importing HS code under ATIGA is only up to 10 characters.

Example: The correct data entry for importing HS code: √ (10 digits/10 characters) The correct data entry for importing HS code: √ (8 digits/10 characters) The incorrect data entry for importing HS code: x (10 digits/12 characters)

The new changes will come into effect on 1 September 2018 and involves ONLY ATIGA scheme as to accommodate e-form D ATIGA exchange under ASW platform in accordance to Message Implementation Guide (MIG) ASW which only allow 10 characters for the said matter.

Thus, seek your cooperation to ensure the changes are parallel with the information stated in the Letter of Credit (LC).

we thank you for your continuous support and cooperation.

Senior DirectorTrade And Industry Support DivisionMinistry Of International Trade And Industry3 August 2018


Announcements

For more information, kindly click the following links:http://www.miti.gov.my/miti/resources/Approve%20Permit/AP%20Announcement/Lampiran_GP_Classic_and_

For more information, kindly click the following links:http://www.miti.gov.my/index.php/pages/view/4761Vintage_English.pdf

Issuance of APEC Business Travel Card is temporarily suspendedImmigration Department of Malaysia has issued a notice that due to unavoidable circumstances, the issuance of APEC Business Travel Card is temporarily suspended and ABTC card will not be printed for approved applicants until further notice.

Kindly refer:

http://www.imi.gov.my/index.php/en/resources-and-archives/announcement/1784-notice-of-apec-card-production-suspended-time.html




MITI Weekly Bulletin (MWB) Mobile AppsMITI MWB APPs is now available for IOS, Android and Windows platforms. MWB APPs can be download from Gallery of Malaysian Government Mobile APPs (GAMMA) at the link: http://gamma.malaysia.gov.my/#/appDetails/85

Dear Readers,

Kindly click the link below for any comments in this issue. MWB reserves the right to edit and republish letters as reprints. http://www.miti.gov.my/index.php/forms/form/13

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