KUALA LUMPUR: Malaysia is contemplating extending its current 50 billion ringgit ($10.6 billion) rail project closer to the Thailand border in an effort to minimize economic competition with its Southeast Asian neighbor.
Transport Minister Anthony Loke expressed that the government is “open” to linking Malaysia’s East Coast Railway Link with Thailand’s existing or planned rail infrastructure. Thailand is in the process of constructing two ports to bypass Malaysia’s primary shipping route.
Loke stated during Malaysia’s parliament session on Wednesday that the relationship between Malaysia and Thailand is not a zero-sum game. He emphasized that both countries face political and economic challenges that can be jointly addressed, with cross-border connectivity being a potential area of collaboration.
The East Coast Railway Link (ECRL) project, designed to connect Malaysia’s west and east coasts, is slated for completion by 2027. As per the current alignment, its final stop is Kota Bharu, approximately 40 kilometers (25 miles) from the Thai border.
Thailand’s proposed $29 billion Chumphon-Ranong Land Bridge project aims to establish two new ports on its coasts, creating an alternative trade route that could bypass the Malacca Strait, a major maritime route and home to three major Malaysian ports.
Loke mentioned that the impact of the land bridge project is expected to be minimal on Malaysia’s northernmost major port in Penang, with its largest ports in Klang and Johor likely unaffected.
He also noted that the implementation of this project could span around 15 years, if initiated.
