Post by : Shakul

Manufacturers in Malaysia are facing mounting challenges as supply shortages and rising costs disrupt operations across multiple sectors. A recent survey by Federation of Malaysian Manufacturing revealed that nearly 90% of companies expect operational disruptions in the coming weeks.

The report highlights widespread shortages of critical raw materials such as naphtha, liquefied petroleum gas (LPG), sulphur, and specialty chemicals. These shortages are affecting industries ranging from plastics and electronics to food processing and rubber manufacturing. Additionally, delays in shipments of essential metals like aluminium and copper are further straining production.

Rising energy and logistics costs are compounding the crisis. Nearly half of the surveyed firms reported energy cost increases of 10–30%, while others faced even steeper hikes. Logistics expenses have also surged, with more than half of companies experiencing significant increases due to global supply chain disruptions and higher freight charges.

As a result, many manufacturers have reduced output or temporarily halted production lines, while export operations are also being impacted by delays and cancellations. Companies are now seeking alternative suppliers from countries such as China, India, and Japan, but challenges like regulatory hurdles and higher costs continue to pose obstacles. The situation underscores growing uncertainty for Malaysia’s manufacturing sector amid ongoing global economic tensions.

#Malaysia News #Economy #Business