Mining boom pushes Malaysia’s producer prices up 9.7pc in July

Malaysia's Producer Price Index (PPI) surged by 9.7 percent in July 2026, a slight uptick from the 9.2 percent rise in the previous month, according to the Department of Statistics Malaysia (DOSM). All sectors witnessed price increases for the fourth consecutive month, with the mining sector leading the charge, rising by 30.5 percent, largely due to crude petroleum extraction (39.6 percent).

The manufacturing sector climbed 8.2 percent, driven by the production of coke and refined petroleum products (30.4 percent) and computer, electronic, and optical products (10.5 percent). Utility sectors saw an increase, with water supply rising 10.2 percent and electricity and gas supply up 6.7 percent. On a month-over-month basis, PPI Local Production grew marginally by 0.7 percent, up from 0.6 percent in June.

The mining sector rebounded with a 1.1 percent increase, while manufacturing rose 0.8 percent and computer, electronic, and optical products advanced 1.5 percent. Agriculture, forestry, and fishing expanded by 0.7 percent, while the electricity and gas supply index saw a slight rise of 0.1 percent, and water supply declined by 1.4 percent.

Processing stages also saw price hikes; crude materials increased 24.1 percent, intermediate materials, supplies, and components rose 8.4 percent, and finished goods climbed 2.5 percent.