A cargo ship approaches the terminal at Port Klang May 2, 2016. Experts said Malaysia’s new national shipping policy must not only encourage the development of a robust domestic fleet to reduce dependency on foreign vessels but also provide more funding to modernise and accelerate the transition to green shipping.
This was a timely announcement, as the Malaysian Shipping Masterplan 2017-2022 was launched five years ago and is due for a review as the industry is still falling short of its targets.Given its strategic location in the busy Straits of Malacca and part of the South China Sea waterways, Malaysia has long aspired to become a major maritime hub in South-east Asia.
For context, about 15 per cent of the world’s shipping traffic, including 30 per cent of global container trade, passes through the Suez Canal to and from the Red Sea. As of January 18, 2024, 158 vessels have rerouted away from the Red Sea, carrying over 2.1 million cargo containers.