KUALA LUMPUR, Sept. 17 (Xinhua) -- Malaysia's manufacturers expect a sharper downturn in the second half following a weak first half, the Federation of Malaysian Manufacturing (FMM) said Wednesday.
The FMM said in a statement that the latest results of the Business Conditions Survey paint a picture of weaker overall performance in the manufacturing sector in the first half of 2025 and signal a sharper downturn ahead in the second half.
According to the survey, manufacturers' outlook for the second half has weakened significantly, with business confidence slipping further across all major indicators. Businesses are increasingly defensive, prioritizing risk management amid global uncertainties.
Meanwhile, cost pressures remain the most pressing challenge, with 69 percent of respondents expecting higher input costs in the second half despite a slight easing in the cost index.
Investment and employment intentions were steady but subdued, with most companies maintaining current levels rather than pursuing growth.
Overall, the survey indicates a more challenging operating environment ahead. ■
