1. Market Research
  2. > Construction Market Trends

Construction in Malaysia, Key Trends and Opportunities to 2020

  • January 2017
  • 86 pages
  • Timetric
Report ID: 3488659

Summary

Table of Contents

Search Inside

Synopsis
Timetric’s Construction in Malaysia, Key Trends and Opportunities to 2020 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 type of construction activity

- Analysis of equipment, material and service costs across each project type within Malaysia

- Critical insight into the impact of industry trends and issues, and the risks and opportunities they present to participants in the Malaysian construction industry

- Profiles of the leading operators in the Malaysian construction industry.

- Data highlights of the largest construction projects in Malaysia.


Summary
In real terms, the Malaysian construction industry registered an average annual growth rate of 10.7% during the review period (2011–2015). This growth was supported by the 10th Malaysia Plan 2011–2015, under which the government invested heavily in infrastructure, industrial parks and residential buildings. In 2010, the government relaxed policies for public-private partnerships (PPPs) with an aim to develop the country’s infrastructure. Consequently, total private investment in infrastructure projects increased from 52.0% of the total infrastructure spending in 2010 to 64.0% in 2014.

According to the Department of Statistics Malaysia (DOSM), the total construction value of civil engineering increased by 11.9% from MYR32.7 billion (US$10.0 billion) in 2014 to MYR36.6 billion (US$9.4 billion) in 2015. This was preceded by annual growth rates of 1.2%, 14.5%, 54.1% and 16.3% in 2014, 2013, 2012 and 2011 respectively.

Over the forecast period (2016–2020), the Malaysian construction industry is expected to continue to expand in real terms, supported by the government’s plan to improve the country’s transport network and tourism infrastructure, and increase the volume of renewable projects.

Moreover, government efforts to address the country’s housing shortage will help the industry to grow over the next five years. However, low oil prices are expected to impact the government’s capability to invest in major infrastructure projects. According to the Malaysian government, every US$1.0 drop in crude oil prices reduces the country’s total annual revenue by MYR300.0 million (US$76.8 million).

The industry’s output value in real terms is expected to rise at a compound annual growth rate (CAGR) of 6.98% over the forecast period, down from 12.11% during the review period.

Scope
This report provides a comprehensive analysis of the construction industry in Malaysia. It provides:

- Historical (2011-2015) and forecast (2016-2020) valuations of the construction industry in Malaysia using construction output and value-add methods

- Segmentation by sector (commercial, industrial, infrastructure, energy and utilities, institutional and residential) and by project type

- Breakdown of values within each project type, by type of activity (new construction, repair and maintenance, refurbishment and demolition) and by type of cost (materials, equipment and services)

- Analysis of key construction industry issues, including regulation, cost management, funding and pricing

- Detailed profiles of the leading construction companies in Malaysia

Reasons To Buy
- Identify and evaluate market opportunities using Timetric's 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 strategy using Timetric's critical and actionable insight.

- Assess business risks, including cost, regulatory and competitive pressures.

- Evaluate competitive risk and success factors.

Key Highlights
-With an aim to become a developed nation by 2020, the government is focusing on improving transport infrastructure. Under the Highway National Development Plan (HNDP), the government aims to upgrade roads in urban areas and develop alternative routes in busy areas. In 2015, the government awarded a contract worth MYR4.2 billion (US$1.1 billion) for the construction of the Sungai Besi-Ulu Kelang Elevated Expressway, Damansara-Shah Alam Highway and West Coast Expressway (WCE).

-The infrastructure construction market is expected to benefit from the government’s plan to expand the airport network under the Runway to Success 2020 (RtS2020) plan. Under this plan, the Malaysia Airports Holdings Bhd (MAHB), the state owned airport operator, plans to invest MYR7.0 billion (US$1.8 billion) to develop airport cities by 2020.

-The government’s various housing programs, such as People's Housing Program (PPR), First House Deposit Financing, Program Rumah Mesra Rakyat, 1Malaysia Civil Servants Housing project (PPA1M) and Syarikat Perumahan Negara Berhad are expected to drive forecast-period growth. In the 2016 budget, under the PPA1M, PPR and Program Rumah Mesra Rakyat, the government announced plans to build 300,000 low-cost housing units across the country.

-The government’s focus on providing affordable houses via social housing programs is expected to drive the growth of the residential construction market over the forecast period. In the 2016 budget, the government announced plans to build 175,000 affordable housing units under the 1Malaysia Housing Program (PR1MA), with an investment of MYR1.6 billion (US$389.0 million) by 2020.

-The government aims to reduce greenhouse gas emission by 40.0% by 2020. Consequently, it plans to increase the share of renewable energy in the country’s total energy mix from 2.0% in 2015 to 11.0% by 2020. For this, the government plans to build a 1,250MW solar power plant and a 1,250MW biomass plant by 2020 under the PPP model.

Get Industry Insights. Simply.

  • Latest reports & slideshows with insights from top research analysts
  • 60 Million searchable statistics with tables, figures & datasets
  • More than 25,000 trusted sources
  • Single User License — provides access to the report by one individual.
  • Department License — allows you to share the report with up to 5 users
  • Site License — allows the report to be shared amongst all employees in a defined country
  • Corporate License — allows for complete access, globally.

Veronica helps you find the right report:

Testimonials

The research specialist advised us on the best content for our needs and provided a great report and follow-up, thanks very much we shall look at ReportLinker in the future.

Kate Merrick

Global Marketing Manager at
Eurotherm by Schneider Electric

We were impressed with the support that ReportLinker’s research specialists’ team provided. The report we purchased was useful and provided exactly what we want.

Category Manager at
Ikea

ReportLinker gave access to reliable and useful data while avoiding dispersing resources and spending too much time on unnecessary research.

Executive Director at
PwC Advisory

The customer service was fast, responsive, and 100% professional in all my dealings (...) If we have more research needs, I'll certainly prioritize working with ReportLinker!

Scott Griffith

Vice President Marketing at
Maurice Sporting Goods

The research specialist provided prompt, helpful instructions for accessing ReportLinker's product. He also followed up to make sure everything went smoothly and to ensure an easy transition to the next stage of my research

Jessica P Huffman

Research Associate at
American Transportation Research Institute

Excellent customer service. Very responsive and fast.

Director, Corporate Strategy at
Ingredion

I reached out to ReportLinker for a detailed market study on the Air Treatment industry. The quality of the report, the research specialist’s willingness to solve my queries exceeded my expectations. I would definitely recommend ReportLinker for in-depth industry information.

Mariana Mendoza

Global Platform Senior Manager at
Whirlpool Corporation

Thanks! I like what you've provided and will certainly come back if I need to do further research works.

Bee Hin Png

CEO at
LDR Pte Ltd

The research specialist advised us on the best content for our needs and provided a great report and follow-up, thanks very much we shall look at ReportLinker in the future.

Kate Merrick

Global Marketing Manager at
Eurotherm by Schneider Electric

Purchase Reports From Reputable Market Research Publishers

Plastic Construction Product Markets in the World to 2021 - Market Size, Development, and Forecasts

  • $ 26321
  • Industry report
  • July 2017
  • by Global Research & Data Services

The report package Plastic Construction Product Markets in the World to 2021 - Market Size, Development, and Forecasts offers the most up-to-date industry data on the actual market situation, and future ...

Plastic Construction Product Markets in Europe to 2021 - Market Size, Development, and Forecasts

  • $ 12223
  • Industry report
  • July 2017
  • by Global Research & Data Services

The report package Plastic Construction Product Markets in Europe to 2021 - Market Size, Development, and Forecasts offers the most up-to-date industry data on the actual market situation, and future outlook ...

Global Building & Infrastructure Construction Industry Databook for 20 Countries – Market Size & Forecast by Value and Volume across 40+ Market Segments in Building Construction and Infrastructure Construction (2012 – 2021)

  • $ 8900
  • Industry report
  • April 2017
  • by ConsTrack360

The global construction industry in value terms increased at a CAGR of 9.6% during 2012-2016. Over the forecast period of 2017 to 2021, the industry is expected to record a CAGR of 9.9%, increasing from ...


ref:plp2017

Reportlinker.com © Copyright 2017. All rights reserved.

ReportLinker simplifies how Analysts and Decision Makers get industry data for their business.