Malaysia’s producer price index (PPI) growth slowed

In August 2024, Malaysia’s producer price index (PPI) growth slowed to 0.3% year-on-year (y-o-y), down from 1.3% in July. This is the slowest growth in six months, largely driven by a decline in commodity prices, particularly Brent crude oil, which fell 7.3%.

As a result, the mining sector’s PPI dropped by 8.3%, the first decline in seven months. PPI growth for agriculture and water supply sectors also eased, while manufacturing and electricity & gas supply saw a slight acceleration in price growth.

By processing stage, crude materials for further processing experienced a significant price drop, while finished goods saw the fastest price increase in 17 months. The overall easing in PPI inflation suggests that policy changes, like diesel subsidy rationalization, have had minimal impact on local production costs, and with inflation under control, no adjustments to the Overnight Policy Rate (OPR) are expected this year.

Read more Business News

Staff Writer

Recent Posts

Paris Baguette Embarks on Its Next Chapter

Paris Baguette Malaysia is now fully integrated under Singapore HQ, enhancing operations and regional strategy…

1 day ago

4 Ways to Build Infrastructure Resilience for an AI-Driven Future

Malaysian enterprises must modernize infrastructure strategically to harness AI, enhancing resilience and reducing costs effectively.

1 day ago

Vertiv Opens Johor Facility to Strengthen AI Infrastructure Supply Across Asia

Vertiv opened its Johor manufacturing facility to expand AI infrastructure production, strengthen regional supply chains,…

2 days ago

Malaysia Manufacturing Returns to Growth as June PMI Rebounds Above 50

Malaysia's manufacturing sector returned to expansion in June as stronger orders and production lifted PMI…

2 days ago

Southern Cable Secures RM403.6m TNB Extension, Strengthening FY27 Earnings Visibility

Southern Cable secured a RM403.6 million TNB contract extension, lifting its order book above RM1…

2 days ago

FBM KLCI Extends Decline as Investors Await Key US Jobs Data

Malaysia's benchmark index fell for a third session as cautious sentiment ahead of US payrolls…

2 days ago

This website uses cookies.