Malaysia Chemicals Sector 2022/2023

Malaysia is a significant regional producer and exporter of petrochemicals, thanks to the country’s sizable crude oil and natural gas reserves. Petroliam Nasional Bhd (“Petronas”), the national oil company, is Malaysia’s steward of its oil and gas resources and has played a pivotal role in developing its petrochemicals production capacity. Malaysia is also an influential regional oleochemicals producer. Malaysia’s oil palm plantation acreage totalled 5.7mn hectares in 2021, providing the country’s producers with considerable raw materials to feed their oleochemical plants. Despite these strengths, Malaysia primarily produces commodity chemicals and remains dependent on imported specialty chemicals.