KUALA LUMPUR, Malaysia (DowJones/AP) - U.S. electronics and electrical manufacturers are likely to increase exports from their Malaysian plants by seven percent to $22.8 billion this year, lower than the 10.5 percent growth predicted in March, an industry group said Tuesday.
The forecast was lowered due to price pressures and uncertain market conditions, the Malaysian American Electronics Industry group said in its 2007 industry survey.
Electronics and electrical goods account for about half of Malaysia's exports.
The organization comprises 17 companies producing semiconductors and other electronics products, including some of the world's biggest technology companies such as Intel Corp., Dell Corp. and Motorola Inc.
In 2006, exports from these producers in Malaysia totaled $21 billion, up 10.9 percent from the previous year. The group's sales constitute about a quarter of Malaysia's total electrical and electronics exports.
The group's chairman, Wong Siew Hai, said that Malaysia's strengthening currency was having ''a minimal impact'' on the companies because local expenses make up only between 8 percent and 15 percent of the companies' costs.
The industry grouping added that the second half of 2007 is expected to be better than the first, helped by seasonal sales and new products.