Malaysia's exports rose 15.1 percent in September, defying expectations, thanks to stronger demand for electronic goods and commodities, Trade Minister Muhyiddin Yassin said today.

Exports totalled RM62.31 billion, the second highest monthly export value on record, while imports for the month rose 11.9 percent to RM47.78 billion from a year ago.

The September trade surplus rose to RM14.53 billion from a revised RM12.61 billion in August.

"Despite the softening of the global economy, Malaysia registered a strong export growth in September 2008," Muhyiddin told reporters.

muhyiddin yasin muhyiddin yassin He said the increase was mostly due to higher exports of electrical and electronic products, supported by growth in demand for crude petroleum, refined petroleum products, optical and scientific equipment, iron and steel products, and palm oil.

Softening demand for electrical and electronics products in the US was offset by growth from the Association of Southeast Asian Nations and other emerging economies including China, India, Russia and Brazil.

"The outlook for the remaining months of 2008 and next year will depend on the interplay of various factors like the fluctuation of commodity prices and currency," Muhyiddin told reporters.

He said that although 2009 would be a challenging year with the United States facing economic turmoil, increased trade with other emerging markets would help "cushion the impact."

The US is the main market for Malaysia's electrical and electronics goods, which account for about 40 percent of total exports.

For the nine months to September, exports rose 16 percent to RM512.21 billion, while imports grew 9.1 percent to RM403.91 billion, bringing the trade surplus for the nine months to RM109.03 billion.

-AFP