Kuala Lumpur: Malaysia’s Producer Price Index (PPI) declined by 3.6 per cent in May 2025, following a 3.4 per cent decrease in April, according to the Department of Statistics Malaysia (DOSM). Chief Statistician Datuk Seri Dr Mohd Uzir Mahidin reported that all sectors recorded year-on-year (y-o-y) declines in May, except for agriculture, forestry, and fishing.
According to BERNAMA News Agency, the mining sector continued to experience a double-digit decline, down 15 per cent compared to April 2025’s 17.8 per cent drop. This was attributed to significant decreases in the indices of crude petroleum extraction, which fell by 15.7 per cent, and natural gas extraction, which declined by 13.1 per cent.
The manufacturing sector saw a decline of 3.0 per cent, following a 2.6 per cent drop in the previous month. Key subsectors such as the manufacture of coke and refined petroleum products decreased by 15.4 per cent, while the manufacture of computer, electronic, and optical products dropped by 6.9 per cent. Additionally, the electricity and gas supply sector decreased by 1.1 per cent, and the water supply sector experienced a marginal decline of 0.2 per cent.
On a month-on-month basis, PPI local production decreased by 1.1 per cent in May 2025, compared to a 1.0 per cent decrease in April 2025. The agriculture, forestry, and fishing sector declined by 5.4 per cent, influenced by a significant drop in the growing of perennial crops index by 9.1 per cent. The mining sector also decreased by 2.3 per cent, mainly due to a fall in the extraction of crude petroleum index by 2.1 per cent.
The manufacturing sector experienced a 0.5 per cent decrease, with declines in the manufacture of coke and refined petroleum products by 2.1 per cent and the manufacture of food products by 1.1 per cent. In comparison, Malaysia’s chief statistician noted the PPI of the United States recorded a 2.6 per cent increase, Japan experienced a 3.2 per cent expansion, China posted a 3.3 per cent decline, and Thailand saw a 3.7 per cent contraction.