KUALA LUMPUR, Aug 28 — Malaysia’s Producer Price Index (PPI) recorded a slower decrease of 3.8 per cent in July 2025 from a 4.2 per cent decline in the previous month, according to the Department of Statistics Malaysia (DOSM).
Chief Statistician Datuk Seri Mohd Uzir Mahidin said that the decline in July 2025 was primarily attributed to the mining and manufacturing sectors, which have experienced a downward trend since the beginning of the year.
“The mining sector went down by 8.7 per cent (June 2025: -8.0 per cent), dragged down by the extraction of crude petroleum (-9.8 per cent) and the extraction of natural gas (-4.7 per cent) indices.
“Similarly, the manufacturing sector declined by 4.0 per cent (June 2025: -4.3 per cent) due to declines in the manufacture of coke and refined petroleum products (-15.7 per cent) and the manufacture of computer, electronic, and optical products (-7.6 per cent) indices,” he said in a statement today.
Uzir added that the agriculture, forestry, and fishing sector recorded an increase of 1.1 per cent (June 2025: -0.3 per cent), supported by the growing of perennial crops (3.1 per cent) index.
“While the electricity and gas supply sector went up by 4.0 per cent (June 2025: -0.2 per cent), the water supply sector posted a marginal decline of 0.1 per cent in July 2025,” he said.
On a month-on-month basis, the PPI local production increased by 0.3 per cent in July 2025 after a 0.7 per cent decrease in the previous month.
“The agriculture, forestry, and fishing sector increased by 2.5 per cent (June 2025: -1.0 per cent), contributed by the growing of perennial crops (4.6 per cent) index.
“The utility sectors, electricity, and gas supply and water supply indices also went up by 3.4 per cent and 0.9 per cent, respectively,” Uzir said.
However, he noted that the mining sector remained unchanged in July 2025, after posting a 4.6 per cent increase in the previous month.
“The manufacturing sector, on the other hand, recorded a marginal decrease of 0.1 per cent (June 2025: -1.2 per cent), weighed down by manufacture of computer, electronic, and optical products (-0.5 per cent) and manufacture of food products (-0.4 per cent),” Uzir said.
Looking at selected countries, the PPI showed mixed trends for July 2025, with the United States’ PPI increasing by 3.3 per cent, Japan experiencing a 2.6 per cent expansion, while China posted a 3.6 per cent decline and Thailand a 4.2 per cent contraction.
