Overview

The Construction sector work done value soared by 9.6 per cent to record RM33.4 billion in the third quarter of 2023

The value of work done in the Construction sector continued to sustain its positive pace for the sixth quarters with year-on-year growth of 9.6 per cent in the third quarter of 2023 (Q2 2023: 8.1%). The momentum was driven by a double-digit growth in the Civil engineering sub-sector, which increased by 17.1 per cent (Q2 2023: 10.4%); and a surge in the Special trade activities by 16.2 per cent (Q2 2023: 9.8%). The Residential buildings also contributed to the growth by recording 7.9 per cent (Q2 2023: 6.9%). Meanwhile, the sub-sector of Non-residential buildings decreased marginally by 0.7 per cent, in contrast to the 5.7 per cent growth in the previous quarter.

Out of RM33.4 billion recorded in the third quarter of 2023, a total of RM13.5 billion or 40.5 per cent of the Construction work done value was in Civil engineering. The rise was mainly attributed to the Construction of roads and railways activity with 22.1 per cent or amounted to RM7.4 billion. Meanwhile, the value of work done for Non-residential buildings and Residential buildings was RM9.2 billion (27.5%) and RM7.3 billion (21.9%), respectively. The Special trade activities contributed RM3.4 billion (10.0%), primarily in Plumbing, heat and air-conditioning installation (RM1.1 billion); and Electrical installation (RM0.9 billion) activities.

The private sector continued as the main impetus to the growth in this quarter, with an increase of 8.6 per cent (Q2 2023: 17.3%) which came from Special trade activities (26.5%) and Civil engineering (10.2%). The value of work done by the private sector amounted to RM19.6 billion or 58.5 per cent of the total construction work done value. On the other hand, the public sector, with a 41.5 per cent share or RM13.9 billion, rebounded strongly, recording a double-digit growth of 10.9 per cent compared to a decline of 4.8 per cent in the previous quarter. This rebound was fueled by Civil engineering (19.2%) and Residential buildings (14.8%) activities, totalling RM10.6 billion and RM0.5 billion, respectively.

Nearly 60 per cent of the work done value in the third quarter of 2023 was concentrated in Selangor, Wilayah Persekutuan (Kuala Lumpur, Putrajaya and Labuan), Sarawak and Johor. The Construction value in Selangor amounted to RM8.1 billion or 24.2 per cent, attributed to Civil engineering (RM2.8 billion), followed by Residential buildings and Non-residential buildings with both at RM2.2 billion. Meanwhile, Wilayah Persekutuan ranked second with a value of RM4.3 billion or 12.8 per cent, primarily in Residential (RM1.7 billion) and Non-residential (RM1.4 billion) activities. In addition, the work value in Sarawak was RM3.8 billion (11.4%) and Johor recorded RM3.5 billion (10.6%).

Summarising the performance of the Construction work done for the first three quarters of 2023, registered a value of RM98.0 billion, reflecting a 9.0 per cent increase compared to the corresponding period in 2022 (Q1 to Q3 2023: 6.6%). Notably, the positive growth was propelled by the significant contribution of Civil engineering activities (14.9%).

The full publication of the Construction Statistics Third Quarter 2023 can be downloaded through eStatistik portal.

Released by:

DEPARTMENT OF STATISTICS MALAYSIA

8 November 2023

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Baharudin Mohamad

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