The Malaysia diesel generator set market is expected to grow from USD 93.0 million in 2024 to USD 111.5 million by 2030, reflecting a compound annual growth rate (CAGR) of 3.0% during this period.
A key factor driving this growth is the Malaysian government’s emphasis on infrastructure development. Plans to build 1 million housing units by 2029, particularly for low-income groups, are likely to increase demand for diesel generator sets, which are crucial to ensuring a reliable power supply in new residential areas.
Additionally, Malaysia’s construction sector has been expanding rapidly, growing by 14.6% in 2021 compared to the previous year. Construction projects often require a steady and reliable power source, making diesel generators essential for both ongoing and upcoming developments across the country.
Power reliability is further highlighted by frequent power outages, often caused by natural disasters like floods and storms. For example, the temporary shutdown of over 300 power substations in multiple states previously left thousands without electricity. In such instances, diesel generators play a critical role in powering evacuation centers and emergency services.
In terms of power rating, the segment for generators above 750 kVA leads the market due to high demand from industries and large commercial establishments that require large-capacity units. Commercial applications are expected to see the fastest growth, as businesses increasingly rely on uninterrupted power supply for their operations.
The market is dominated by a few key players, with companies focusing on expanding their product offerings, launching new products, and forming strategic partnerships to strengthen their position in Malaysia. The outlook for the diesel generator set market remains positive, driven by infrastructure development, industrial growth, and the ongoing need for reliable energy solutions.
