Industrial production in Malaysia grew by 3.1% year-on-year in March 2026, matching market expectations and the pace seen in the previous month. Still, the latest figure remained the weakest growth in industrial activity since last June, driven mainly by a deeper contraction in mining output (-6.5% vs -2.0%), as crude oil and condensate production declined more sharply (-11.3% vs -4.3%) and natural gas output continued to fall (-3.4% vs -0.4%). On the other hand, activity in the manufacturing sector increased 5.5% from 4.2% in the previous month, mainly boosted by robust output of electrical and electronic products (12.5% vs 12.9%) and food, beverages, and tobacco (9.1% vs 5.7%). Additionally, the generation of electricity went up (4.9% vs 4.6%). On a seasonally adjusted monthly basis, industrial activity fell by 1.8% in March, easing from a 2.9% drop in the preceding period.