KUALA LUMPUR, Oct. 20 (Xinhua) -- Malaysia's export growth outlook for 2026 has strengthened on robust demand for semiconductors, artificial intelligence (AI) infrastructure and electrical and electronics (E&E) products, prompting research houses to raise their forecasts, although external uncertainties and fading base effects could temper trade momentum towards year-end.
RHB Investment Bank Research said in a note on Monday that it has raised its forecast for Malaysia's export growth in 2026 to 34.4 percent from 21.7 percent, following a robust 34 percent expansion year to date, supported by strong demand for E&E products.
E&E exports, a key driver of the strong performance, are expected to remain resilient for the rest of the year, while commodity-related exports, particularly liquefied natural gas (LNG) and petroleum products, should provide additional support, the research house said.
RHB said it remained watchful of uncertainties surrounding the sustainability of the AI investment cycle, geopolitical developments and U.S. tariff policies, which could affect global demand and trade flows.
However, Malaysia's diversified economic base, deep integration into global and regional supply chains, and efforts to diversify export markets and broaden its product mix should help sustain export growth and cushion external headwinds.
Separately, MBSB Research has upgraded its 2026 export growth forecast to 32 percent, from 6.6 percent growth in 2025, while raising its import growth projection to 26 percent, compared with 6 percent last year.
Sustained demand for E&E and technology-related products should support exports, alongside stronger imports of inputs for manufacturing and investment activities, it said.
BIMB Securities said robust external demand, particularly for AI and electronics, suggested Malaysia's growth momentum could be stronger than initially estimated.
Strong demand for semiconductors, AI infrastructure and data centers continues to support manufacturing, the research house said, adding that the AI upcycle should underpin healthy economic expansion even as growth moderates in 2027. ■
