Malaysia’s industrial production growth is forecast to slow due to increasing concerns over potential energy supply disruptions. The primary risk factor stems from the ongoing geopolitical tensions between the United States and Iran. This stalemate creates uncertainty regarding the stability of energy markets and Malaysia’s access to crucial supplies. The Industrial Production Index (IPI) is expected to reflect this pressure, indicating a weaker performance in the industrial sector. Experts suggest that continued instability in the region could further exacerbate these challenges, hindering Malaysia’s economic momentum. The situation requires close monitoring as energy costs significantly impact manufacturing and overall industrial output. These external factors pose a significant headwind to Malaysia’s industrial growth prospects.