Malaysia said today that its exports picked up September, rising a stronger-than-expected 2.6 percent year-on-year thanks increased demand from South-East Asia and the United States.

Exports, the mainstay of the trade-dependent country, had fallen in July and August because of weak demand from Europe and China.

Improvement in shipments to the 10-member Association of South-East Asian Nations, the United States, India and Taiwan supported saw exports rise to RM60.21 billion (US$19.7 billion), the trade ministry said in a statement.

Imports rose 9.6 percent to RM53.74 billion, lifted by an increase in electrical, electronic and refined petroleum products, putting total trade at RM113.94 billion, up from RM107.74 billion the previous year.

Yeah Kim Leng, chief economist with financial research firm RAM Holdings said analysts were only expecting one percent growth.

He told AFP: “This rebound is sustainable since leading indicators in the United States are pointing to a pick-up in demand. The magnitude of the rebound was unexpected.”

Shipments to South-East Asia rose 18.9 percent to RM16.30 billion, amounting for 27.1 percent of Malaysia’s total exports.

Exports to the United States continued to grow, expanding 6.3 percent to RM5.27 billion.

But exports of electrical and electronic products, crude rubber and chemical products to debt-wracked Europe sank 12.5 percent to RM5.14 billion year-on-year, the ministry said.

Shipments to China fell 10.8 percent to RM7.66 billion while those to Japan fell 2.2 percent to RM7.04 billion.

From January to September, exports rose 1.7 percent to RM525.50 billion, while imports grew 7.6 percent to RM457.24 billion.

- AFP