27-3-2024 (KUALA LUMPUR) Malaysia is contemplating extending its ongoing 50-billion-ringgit ($10.6 billion) rail project closer to the border with Thailand, aiming to mitigate economic competition with its neighbouring country.
Transport Minister Anthony Loke stated that the government is receptive to the idea of linking the East Coast Railway Link (ECRL) with existing or planned Thai rail infrastructure.
Thailand has been advocating for a Land Bridge concept, involving ports in the provinces of Ranong and Chumphon connected by a road and rail network. This initiative is envisioned as a means to establish a new trade route bypassing Malaysia’s primary shipping route in the Malacca Strait, requiring an investment of at least one trillion baht.
Loke addressed Malaysia’s parliament on Wednesday, asserting that the relationship between Malaysia and Thailand is not a zero-sum game. Both nations encounter political and economic challenges that can be jointly addressed, with cross-border connectivity representing one avenue for cooperation.
The ECRL project, designed to link Malaysia’s west and east coasts, is slated for completion by 2027. Currently, its final stop is Kota Bharu, approximately 40 kilometres from the Thai border in Narathiwat.
Loke noted that the potential impact of the Land Bridge, if realised, would likely be confined to Malaysia’s northernmost major port in Penang, with its largest ports in Klang and Johor remaining unaffected.
“This project may take 15 years to materialise — if it proceeds,” Loke remarked.