Key facts
- Malaysia suffered an estimated RM8 billion (US$1.97 billion) in welfare losses from the 2026 haze.
- The haze may have contributed to approximately 1,700 deaths between July 1 and October 22, 2026.
- About 1,600 deaths were attributed to transboundary smoke from fires outside Malaysia.
- The health burden of estimated premature deaths was valued between RM3 billion and RM15 billion.
- 69% of surveyed manufacturers experienced operational impacts, with 26% reporting moderate or significant disruption.
- 37% of affected sites reported a fall in output, and 27% temporarily shut down operations.
Malaysia experienced significant welfare losses and potential fatalities due to transboundary haze from Indonesian forest fires in 2026, according to a report commissioned by the Federation of Malaysian Manufacturers (FMM). The study, "The 2026 Fire Season and Transboundary Haze in Malaysia," estimated welfare losses at 8 billion ringgit (US$1.97 billion) and linked the smoke to approximately 1,700 deaths between July 1 and October 22. The majority of these deaths were attributed to smoke originating from outside Malaysia. The report also highlighted operational disruptions for manufacturers, with many experiencing staff absences and reduced output.