KUALA LUMPUR: Malaysia's gross exports are expected to increase 17.4 per cent in 2022, according to Economic Outlook 2023.
The report said this was attributed to strong external demand from major trading partners following the acceleration of global technology upcycle and digitalisation.
Exports of manufactured goods are estimated to grow by 15 per cent driven by higher demand for both electrical and electronics (E&E) and non-E&E products by 26.9 per cent and 6.1 per cent, respectively.
"The increase in E&E exports is expected to continue strongly, supported by steady external demand amid global chip shortage.
"Products include semiconductor, telecommunication equipment parts as well as automatic data processing equipment, representing the highest share of E&E components," it said.
The report said exports of non-E&E products, particularly petroleum products and palm oil-based manufactured products were expected to grow in 2022 following robust external demand and high commodity prices.
Similarly, exports of agriculture goods are estimated to grow by 26.2 per cent, buoyed by demand for palm oil and palm oil-based agriculture products as well as natural rubber.
The report said gross imports were expected to expand by 19.3 per cent in 2022 supported mainly by intermediate and capital goods on the back of continued improvement in domestic economic activities with reopening of the economy.
Likewise, imports of consumption goods are anticipated to increase with the surge in household demand following gradual improvement in employment and income prospects.
"Imports of intermediate goods which constitute the largest share of 55.9 per cent are expected to increase by 20.7 per cent, followed by growth of capital goods and consumption goods at 8.9 per cent and 17 per cent, respectively.
"The capital goods form a share of 9.6 per cent, while consumption goods constitute 8.3 per cent of the total imports," it added.