Malaysia’s construction sector grew 12.9% year-on-year in the second quarter of 2025, with the value of work done reaching RM43.9 billion, according to the Department of Statistics Malaysia (DOSM). This follows a 16.6% increase in the previous quarter and marks the sector’s thirteenth consecutive quarter of expansion. However, growth moderated to its slowest pace since the fourth quarter of 2023 due to a broad-based slowdown across all sub-sectors.
Construction
Residential building construction rose 13.9% year-on-year, non-residential buildings increased 16.2%, and special trade activities climbed 22.2%. Civil engineering projects, however, saw a stronger rebound, accelerating 7.6%. By sector, private construction expanded 19.3% compared to 23.7% in the previous quarter, while public sector growth slowed to 3.1% from 6.3%.
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