Malaysia’s electrical, electronics exports on shaky ground as global headwinds intensify

[KUALA LUMPUR] Malaysia’s high-flying electronics export sector may be on shaky ground as the threat of renewed US tariffs casts a shadow over RM64 billion (S$19 billion) worth of non-semiconductor shipments and unsettles global players invested in the country’s vital role in the chip supply chain.

The warning signs come just months after Malaysia hit a record RM601.2 billion in electrical and electronics (E&E) exports in 2024, underscoring the stakes for a sector that supplies everything from chipsets to microcontrollers to US buyers.

While the immediate focus remains on the potential levies on the non-semiconductor E&E exports, Malaysia’s significant clout in the global semiconductor assembly, testing and packaging (ATP) market where it commands a 13 per cent share may offer limited buffer against the uncertainties.