PETALING JAYA: Malaysia’s construction sector expanded by 12.5% in 2025 to reach RM178.6 billion in work done value, while maintaining positive momentum in the fourth quarter with a 10.3% increase, said Chief Statistician Malaysia Datuk Seri Dr Mohd Uzir Mahidin.
The expansion was largely driven by the strong performance of the special trade activities and non-residential buildings sub-sectors, which surged by 21.1% and 18.6%, respectively.
In contrast, the residential buildings sub-sector experienced a more moderate growth of 5.9% (Q3 2025: 11.6%), while the civil engineering sub-sector continued to expand at a slower pace of 3.6% (Q3 2025: 8.9%).
Mohd Uzirr elaborated, “Of the RM46.4 billion in work done value recorded in the fourth quarter of 2025, RM16.2 billion or 34.9% was attributed to the civil engineering sub-sector, primarily in the construction of utility projects (RM8.8 billion) and roads and railways (RM5.8 billion).”
Meanwhile, he said, the value of work done for non-residential buildings and residential buildings sub-sectors was RM14 billion (30.1%) and RM10.5 billion (22.6%), respectively.
The special trade activities sub-sector contributed RM5.7 billion (12.4%), largely in sites preparation (RM1.5 billion); plumbing, heat and air-conditioning installation (RM1.2 billion); and electrical installation (RM1.1 billion) activities.
The private sector remained the main driver of growth in this quarter, contributing RM29.3 billion or 63.2% of the total value of work done. The private sector recorded positive momentum of 8.6%, supported mainly by the special trade activities sub-sector, which rose 23.8%, and thenon-residential buildings sub-sector, which rose 10.5%. Meanwhile, the value of work done by the public sector, contributing RM17.1 billion or 36.8% of the total, recorded a double-digit growth of 13.4% (Q3 2025: 6.1%). The growth was driven mainly by the non-residential buildings sub-sector, which increased 56.7%, rebounding from a contraction in the previous quarter (Q3 2025: -6.5%).
Elaborating on the performance of the construction sector by state in the fourth quarter of 2025, Mohd Uzir stated, “Nearly 62.9% of the work done value was concentrated in Selangor, Johor, Sarawak and Wilayah Persekutuan (Kuala Lumpur, Putrajaya and Labuan). Selangor remained the largest contributor with a value of RM11 billion or 23.8%, driven mainly by the non-residential buildings sub-sector, amounting to RM4.6 billion, followed by residential buildings at RM3.0 billion.
Meanwhile, Johor ranked second with a value of RM8.3 billion or 17.9%, primarily supported by theNon-residential buildings sub-sector valued at RM2.8 billion.
In the meantime, Sarawak recorded RM5 billion or 10.8%, while Wilayah Persekutuan amounted to RM4.8 billion (10.4%).
Summarising, Mohd Uzir said the performance of the construction work done in 2025, the sector recorded a value of RM178.6 billion, registering a growth of 12.5% compared to 20.2% in the preceding year. The growth was driven by increases in special trade activities (22.8%), non-residential buildings (16.3%) and residential buildings (13.9%) sub-sectors. Meanwhile, the civil engineering sub-sector posted a more moderate growth of 5.9% (2024: 17.3%).
Overall, Malaysia’s construction sector in 2025 continued to expand, supported by positive performance across all sub-sectors, albeit at a more measured pace compared to 2024.
