Construction Industry in Malaysia Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)

Malaysia's Construction Industry Report is Segmented by Sector (Commercial, Residential, Industrial), Infrastructure (Transportation Construction), Energy and Utility Construction), and Construction Type (Adding, Demolition, and New Construction). The Report Offers Market Size and Forecasts in Value (USD) for all the Above Segments.

Construction Industry in Malaysia Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)

Malaysia Construction Market Size

Malaysia Construction Market Summary
Study Period 2020 - 2030
Base Year For Estimation 2024
Forecast Data Period 2025 - 2030
Market Size (2025) USD 41.85 Billion
Market Size (2030) USD 63.07 Billion
CAGR (2025 - 2030) 8.55 %
Market Concentration Low

Major Players

Malaysia Construction Market Major Players

*Disclaimer: Major Players sorted in no particular order

Compare market size and growth of Malaysia Construction Market with other markets in Real Estate and Construction Industry

Real Estate

Construction

Malaysia Construction Market Analysis

The Malaysia Construction Market size is estimated at USD 41.85 billion in 2025, and is expected to reach USD 63.07 billion by 2030, at a CAGR of 8.55% during the forecast period (2025-2030).

  • The construction industry in Malaysia continued to grow in 2023, with the total value of projects realized amounting to MYR 54.71 billion (USD 11.47 billion) between January and October.
  • The private sector spearheaded the recovery from COVID-19 lockdowns and became the main driver of construction growth. Some key private sector projects that contributed to this recovery were high-rise residential projects with mixed-use ideas, supply chain optimization-driven fast-track industrial projects, and data center developments.
  • While the civil sector accounted for the majority of government-initiated projects, it slowed down over time, mainly due to government control and prudent spending. However, the government has made significant strides toward improving public transportation and economic development in the region through various national infrastructure projects.
  • The projects include the 5G network roll-out, which will cater to the growing demand for data centers across the Asia-Pacific region, and the MRT extension, which is projected to create thousands of jobs during the construction phase. Public transportation projects have sparked a wave of transit-oriented projects in Klang Valley, as well as along the intercity railway links, catalyzing real estate revitalization in the surrounding areas.
  • The New Industrial Master Plan (NIMP) 2030 launched by the Government of Malaysia aims to transform Malaysia’s manufacturing industry into a high value, technology-based and globally competitive sector by 2030. The NIMP calls for the establishment of new industrial parks and the construction and modernisation of infrastructure to facilitate the development of the manufacturing sector.

Malaysia Construction Industry Overview

The Malaysian construction market is less competitive due to major international players holding a large share of the total market. Furthermore, the residential and transport construction sectors have a huge potential for growth during the forecasted period, which stimulates opportunities for other market players. Some of the major players in Malaysia's Construction Market are YTL Corporation Berhad, IJM Corporation Berhad, Gamuda Berhad, UEM Group Berhad, and Malaysian Resources Corporation Berhad.

Malaysia Construction Market Leaders

  1. YTL Corporation Berhad

  2. IJM Corporation Berhad

  3. Gamuda Berhad

  4. UEM Group Berhad

  5. Malaysian Resources Corporation Berhad

  6. *Disclaimer: Major Players sorted in no particular order
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Malaysia Construction Market News

  • October 2023: Gamuda Bhd entered into a joint-venture agreement with Sabah Energy Corp Sdn Bhd (SEC) and Kerjaya Kagum Hitech JV Sdn Bhd (KKHJV) to undertake a private finance initiative for the development of the MYR 4 billion (USD 0.86 billion) 187.5 MW hydroelectric power plant in Tenom, Sabah.
  • July 2023: IJM formed a partnership with FMM Elmina Sdn Bhd to develop two logistics hubs on a 22-acre site in the City of Elmina, Shah Alam, marking its maiden industrial property development in the Klang Valley.

Malaysia Construction Market Report - Table of Contents

1. INTRODUCTION

  • 1.1 Study Assumptions and Market Definition
  • 1.2 Scope of the Market

2. RESEARCH METHODOLOGY

3. EXECUTIVE SUMMARY

4. MARKET INSIGHTS

  • 4.1 Current Economic and Construction Market Scenario
  • 4.2 Technological Innovations in the Construction Sector
  • 4.3 Impact of Government Regulations and Initiatives on the Industry
  • 4.4 Review and Commentary on the Extent of Malaysia Vision 2020
  • 4.5 Comparison of Key Industry Metrics of Malaysia with Other ASEAN Countries
  • 4.6 Comparison of Construction Cost Metrics of Malaysia with Other ASEAN Countries
  • 4.7 Impact of COVID-19 on the Market
  • 4.8 Market Dynamics
    • 4.8.1 Market Drivers
    • 4.8.1.1 Rise in Demand for Residential Property
    • 4.8.1.2 Increase in Infrastructure Projects
    • 4.8.2 Market Restraints
    • 4.8.2.1 Increase in Cost of Raw Materials
    • 4.8.3 Market Oppurtunities
  • 4.9 Value Chain/Supply Chain Analysis
  • 4.10 Industry Attractiveness - Porter's Five Forces Analysis
    • 4.10.1 Bargaining Power of Suppliers
    • 4.10.2 Bargaining Power of Buyers/Consumers
    • 4.10.3 Threat of New Entrants
    • 4.10.4 Threat of Substitute Products
    • 4.10.5 Intensity of Competitive Rivalry

5. MARKET SEGMENTATION

  • 5.1 By Sector
    • 5.1.1 Commercial Construction
    • 5.1.2 Residential Construction
    • 5.1.3 Industrial Construction
    • 5.1.4 Infrastructure (Transportation) Construction
    • 5.1.5 Energy and Utilities Construction
  • 5.2 By Construction Type
    • 5.2.1 Additions
    • 5.2.2 Demolition and New Construction

6. COMPETITIVE LANDSCAPE

  • 6.1 Market Overview
  • 6.2 Company Profiles
    • 6.2.1 YTL Corporation Berhad
    • 6.2.2 IJM Corporation Berhad
    • 6.2.3 Gamuda Berhad
    • 6.2.4 UEM Group Berhad
    • 6.2.5 Malaysian Resources Corporation Berhad
    • 6.2.6 WCT Holdings Berhad
    • 6.2.7 WCE Holdings Berhad
    • 6.2.8 Hock Seng Lee Berhad
    • 6.2.9 Mudajaya Group Berhad
    • 6.2.10 Muhibbah Engineering (M) Bhd*
  • *List Not Exhaustive

7. FUTURE OF THE MARKET

8. APPENDIX

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Malaysia Construction Industry Segmentation

Construction is the processes involved in delivering buildings, infrastructure, industrial facilities, and associated activities through to the end of their lives. It typically starts with planning, financing, and designing and continues until the asset is built and ready for use. Construction also covers repairs and maintenance work and works to expand, extend, and improve the asset, as well as its eventual demolition, dismantling, or decommissioning.

Malaysia's construction market is segmented by sector (commercial, residential, industrial, infrastructure (transportation construction), energy, and utility construction) and by construction type (adding, demolition, and new construction). The report offers market size and forecasts for the Malaysian construction market in terms of value (USD) for all the above segments.

By Sector Commercial Construction
Residential Construction
Industrial Construction
Infrastructure (Transportation) Construction
Energy and Utilities Construction
By Construction Type Additions
Demolition and New Construction
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Malaysia Construction Market Research FAQs

How big is the Malaysia Construction Market?

The Malaysia Construction Market size is expected to reach USD 41.85 billion in 2025 and grow at a CAGR of 8.55% to reach USD 63.07 billion by 2030.

What is the current Malaysia Construction Market size?

In 2025, the Malaysia Construction Market size is expected to reach USD 41.85 billion.

Who are the key players in Malaysia Construction Market?

YTL Corporation Berhad, IJM Corporation Berhad, Gamuda Berhad, UEM Group Berhad and Malaysian Resources Corporation Berhad are the major companies operating in the Malaysia Construction Market.

What years does this Malaysia Construction Market cover, and what was the market size in 2024?

In 2024, the Malaysia Construction Market size was estimated at USD 38.27 billion. The report covers the Malaysia Construction Market historical market size for years: 2020, 2021, 2022, 2023 and 2024. The report also forecasts the Malaysia Construction Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.

Malaysia Construction Industry Report

Statistics for the 2025 Malaysia Construction market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Malaysia Construction analysis includes a market forecast outlook for 2025 to 2030 and historical overview. Get a sample of this industry analysis as a free report PDF download.

Malaysia Construction Market Report Snapshots