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13.05.202604:13:13UTC+00Malaysia Q1 Construction Output Rises the Least in Over 2 Years

Malaysia’s construction activity grew 8.5% year-on-year in Q1 2026, down from 10.3% in the previous quarter and marking the slowest expansion since Q4 2023. The moderation was driven mainly by weaker civil engineering works, which rose 1.5% after a 3.6% increase in Q4, though this segment remained the largest contributor to the sector with a 34.2% share. Growth in non-residential building construction also decelerated sharply (12.7% vs 18.6%), accounting for 29.9% of total output. In contrast, residential building activity picked up slightly (6.1% vs 5.9%), representing 22.5% of total construction. Special trade activities continued to register robust gains (24.6% vs 21.1%), making up 13.3% of overall activity. For the full year 2025, construction output rose 12.5%, easing from a strong 20.2% increase in 2024.

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