Malaysia Construction Market Size, Trends, and Forecasts by Sector - Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential Market Analysis to 2029 (Q1 2025)
Summary
GlobalData expects the Malaysian construction industry to expand by 6% in real terms in 2025, supported by investments in transport infrastructure and renewable energy projects According to the Department of Statistics Malaysia (DOSM), the value-add of the construction industry rose by 20.7% YoY in Q4 2024, following YoY growths of 19.9% in Q3 and 17.3% in Q2 2024. According to DOSM, gross fixed capital formation rose by 11.7% YoY in Q4 2024, following YoY growths of 15.3% in Q3 and 11.5% in Q2 2024. According to the Malaysian Investment Development Authority (MIDA), the government received total investments of MYR378.5 billion ($83.4 billion) in 2024, an increase of 14.9% compared to 2023. Of the total, foreign investments (FI) accounted MYR170.4 billion ($37.5 billion), and domestic investments accounted to MYR208.1 billion ($8.1 billion), during the same period. The Malaysian Ministry of Energy and Natural Resources' (KeTSA) goal of increasing the renewable capacity from 13.3% in July 2024 to 31% by 2025, 40% by 2035, and 70% by 2050 will also help in boosting growth in the construction industry.
The construction industry is expected to register an annual average growth rate of 4.5% between 2026 and 2029, supported by an improvement in export activities, coupled with investments in manufacturing and housing infrastructure projects. The New Industrial Master Plan 2030 (NIMP 2030) announced in 2023, which intends to establish 3,000 smart factories in the country by 2030 via Industry 4.0 and digital technology adoption with an expected investment of MYR5 billion ($1.1 billion), will also contribute to the industry’s growth over the forecasted period. In February 2025, Malaysia's MRT Corp and Sunway Group started the construction of a MYR2.6 billion ($572.8 million) mixed-use development in Johor Bahru, which is expected to be completed by early 2033
GlobalData’s Construction in Malaysia - Key Trends and Opportunities to 2029 (Q1 2025) report provides detailed market analysis, information and insights into the Malaysian construction industry, including -
- The Malaysian construction industry's growth prospects by market, project type and construction activity
- Critical insight into the impact of industry trends and issues, as well as an analysis of key risks and opportunities in the Malaysian construction industry
- Analysis of the mega-project pipeline, focusing on development stages and participants, in addition to listings of major projects in the pipeline
This report provides a comprehensive analysis of the construction industry in Malaysia. It provides -
- Historical (2020-2024) and forecast (2025-2029) valuations of the construction industry in Malaysia, featuring details of key growth drivers.
- Segmentation by sector (commercial, industrial, infrastructure, energy and utilities, institutional and residential) and by sub-sector
- Analysis of the mega-project pipeline, including breakdowns by development stage across all sectors, and projected spending on projects in the existing pipeline.
- Listings of major projects, in addition to details of leading contractors and consultants
- Identify and evaluate market opportunities using our standardized valuation and forecasting methodologies
- Assess market growth potential at a micro-level with over 600 time-series data forecasts
- Understand the latest industry and market trends
- Formulate and validate business strategies using GlobalData's critical and actionable insight
- Assess business risks, including cost, regulatory and competitive pressures
- Evaluate competitive risk and success factors
- 1 Executive Summary
- 2 Construction Industry: At-a-Glance
- 3 Context
- 3.1 Economic Performance
- 3.2 Political Environment and Policy
- 3.3 Demographics
- 3.4 Risk Profile
- 4 Construction Outlook
- 4.1 All Construction
- Outlook
- Latest news and developments
- Construction Projects Momentum Index
- 4.2 Commercial Construction
- Outlook
- Project analytics
- Latest news and developments
- 4.3 Industrial Construction
- Outlook
- Project analytics
- Latest news and developments
- 4.4 Infrastructure Construction
- Outlook
- Project analytics
- Latest news and developments
- 4.5 Energy and Utilities Construction
- Outlook
- Project analytics
- Latest news and developments
- 4.6 Institutional Construction
- Outlook
- Project analytics
- Latest news and developments
- 4.7 Residential Construction
- Outlook
- Project analytics
- Latest news and developments
- 5 Key Industry Participants
- 5.1 Contractors
- 5.2 Consultants
- 6 Construction Market Data
- 7 Appendix
- 7.1 What is this Report About?
- 7.2 Definitions
- 7.3 CRI Methodology
- 8 About GlobalData
- 9 Contact Us
- List of Tables
- Table 1: Construction Industry Key Data
- Table 2: Malaysia, Key Economic Indicators
- Table 3: Malaysia, Commercial Construction Output by Project Type (Real % Change), 2020–29
- Table 4: Malaysia, Top Commercial Construction Projects by Value
- Table 5: Malaysia, Industrial Construction Output by Project Type (Real % Change), 2020–29
- Table 6: Malaysia, Top Industrial Construction Projects by Value
- Table 7: Malaysia, Infrastructure Construction Output by Project Type (Real % Change), 2020-29
- Table 8: Malaysia, Top Infrastructure Construction Projects by Value
- Table 9: Malaysia, Energy and Utilities Construction Output by Project Type (Real % Change), 2020-29
- Table 10: Malaysia, Top Energy and Utilities Construction Projects by Value
- Table 11: Malaysia, Institutional Construction Output by Project Type (Real % Change), 2020-29
- Table 12: Malaysia, Top Institutional Construction Projects by Value
- Table 13: Malaysia, Residential Construction Output by Project Type (Real % Change), 2020-29
- Table 14: Malaysia, Top Residential Construction Projects by Value
- Table 15: Malaysia, Key Contractors
- Table 16: Malaysia, Key Consultants
- Table 17: Malaysia, Construction Output Value (Real, $ Million)
- Table 18: Malaysia, Construction Output Value (Nominal, MYR Million)
- Table 19: GlobalData Construction Market Definitions
- Table 20: Risk Dimensions
- Table 21: Ratings, Scores and Definitions
- List of Figures
- Figure 1: South-East Asia, Construction Output (Real % Change), 2023–29
- Figure 2: Malaysia, Construction Output by Sector (Real % Change), 2023–25 and 2026–29
- Figure 3: Malaysia, Risk Summary
- Figure 4: Malaysia, Risk Regional Comparison
- Figure 5: Malaysia, Construction Output Value (Real, $ Million, 2022 Prices and Exchange Rate), 2020–29
- Figure 6: Malaysia, Construction Output Value, by Sector (Real, $ Million), 2020–29
- Figure 7: Malaysia, Construction Value-Add (2015 Constant Prices, MYR Million)
- Figure 8: Malaysia, Loans Disbursed for the Construction Industry (MYR Million)
- Figure 9: Malaysia, Value of Construction Work Done, % Change YoY
- Figure 10: Malaysia, Producer Price Index (2010=100)
- Figure 11: Malaysia, Gross Fixed Capital Formation (2015 Constant Prices, MYR Million)
- Figure 12: Malaysia, Construction Projects Momentum Index
- Figure 13: South-East Asia, Construction Projects Momentum Index
- Figure 14: Malaysia, Commercial Construction Output by Project Type (Real, $ Million), 2020–29
- Figure 15: Malaysia, Commercial Construction Projects Pipeline, Value by Stage ($ Million)
- Figure 16: Malaysia, Wholesale and Retail Sales, % Change YoY
- Figure 17: Malaysia, Construction Loans Disbursed for Wholesale and Retail Trade and Restaurants and Hotels (MYR Billion)
- Figure 18: Malaysia, Industrial Construction Output by Project Type (Real, $ Million), 2020–29
- Figure 19: Malaysia, Industrial Construction Projects Pipeline, Value by Stage ($ Million)
- Figure 20: Malaysia, Manufacturing Value-Add (2015 Constant Prices, MYR Billion)
- Figure 21: Malaysia, Industrial and Manufacturing Production Indices (2015=100)
- Figure 22: Malaysia, Total exports (MYR Million)
- Figure 23: Malaysia, Infrastructure Construction Output by Project Type (Real, $ Million), 2020-29
- Figure 24: Malaysia, Infrastructure Construction Projects Pipeline, Value by Stage ($ Million)
- Figure 25: Malaysia, Value of Construction Work Done of Civil Engineering (MYR Million)
- Figure 26: Malaysia, Energy and Utilities Construction Output by Project Type (Real, $ Million), 2020-29
- Figure 27: Malaysia, Energy and Utilities Construction Projects Pipeline, Value by Stage ($ Million)
- Figure 28: Malaysia, Institutional Construction Output by Project Type (Real, $ Million), 2020-29
- Figure 29: Malaysia, Institutional Construction Projects Pipeline, Value by Stage ($ Million)
- Figure 30: Malaysia, Private Health Services Value-Add (2015 Constant Prices, MYR Million)
- Figure 31: Malaysia, Private Education Services Value-Add (2015 Constant Prices, MYR Million)
- Figure 32: Malaysia, Residential Construction Output by Project Type (Real, $ Million), 2020-29
- Figure 33: Malaysia, Residential Construction Projects Pipeline, Value by Stage ($ Million)
- Figure 34: Malaysia, Real Estate Value-Add (2015 Constant Prices, MYR Million)
- Figure 35: Malaysia, Value of Residential Construction Work Done (MYR Billion)
- Figure 36: Malaysia, Loans disbursed for the purchase of residential property (MYR Million)
- Figure 37: Malaysia, Headquarters of Key Contractors (% of Total Project Pipeline)
- Figure 38: Malaysia, Headquarters of Key Consultants (% of Total Project Pipeline)
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