KUALA LUMPUR: Malaysia's industrial production index (IPI) fell 5.2%, more than expected, in July from a year earlier, weighed down by weakness in the manufacturing sector.

       The Statistics Department data issued on Friday showed the decline in July's industrial production was sharper than the 1.9% forecasts, according to 12 economists surveyed in a Reuters poll.

       In June, the index was up 1.4%.

       Commenting on the report, Chief Statistician Datuk Seri Dr Mohd Uzir Mahidin said the 5.2% fall in the IPI was due to the decrease in manufacturing index (-6.5%) and electricity index (-6.6%).

       However, the mining index recorded an increase of 0.6%.

       The manufacturing sector output based on year-on-year comparison decreased by 6.5% in July 2021 after recording a decline of 0.2% in June 2021.

       The main subsectors contributed to the downturn in manufacturing sector in July 2021 were transport equipment & other manufactures (-43.8%), non-metallic mineral products, basic metal &

       fabricated metal products (-27.6%) and wood products, furniture, paper products & printing (-23.7%).

       Domestic-oriented industries shrank 24.7% while export-oriented industries grew by 1.9%.

       The mining sector output inched up 0.6% in July 2021 from a year ago. The growth was driven by the 4.1% increase in natural gas index. Meanwhile, crude oil & condensate index dropped by 3.6%.

       The electricity sector output contracted 6.6% in July 2021 from a year ago.