ECRL set to revolutionise freight transportation by 2028

Partnership between Malaysia Rail Link, Perodua, Kuantan Port Consortium aims to establish Kuantan Port as a regional trade hub, promoting economic development, job creation in East Coast

5:36 PM MYT

 

KUALA LUMPUR – The East Coast Rail Link (ECRL) will commence full operations across four states, starting from Kota Bharu to Port Klang in January 2028. 

The freight yards are ready and operational in Pasir Puteh (Kelantan), Dungun, and Chukai (Terengganu), Kuantan Port City, Paya Besar, Maran, Temerloh, and Bentong (Pahang), as well as Bandar Serendah and Puncak Alam (Selangor), said its project owner, Malaysia Rail Link Sdn Bhd (MRL) chief executive officer Datuk Sri Darwis Abdul Razak.

The 665-km ECRL will bridge the east and west coasts of Peninsular Malaysia, revolutionising how goods, especially automobiles, are transported in the region. This will drive seamless freight handling, especially for inland cargo on the peninsula, he added.

“The ECRL’s ‘landbridge’ offers a more direct route to international trade, making it more attractive for businesses by boosting export-oriented industries. 

“This ‘last-mile’ connectivity linking Kuantan Port and Port Klang will bring both coasts closer together, easing the transfer of goods along the ECRL network,” he said.

Darwis, representing the MRL, signed a memorandum of understanding (MoU) with Perodua and Kuantan Port Consortium Sdn Bhd (Kuantan Port) today.

This was for potential long-term collaborations for the ECRL freight transportation services, which will come on stream by January 2027.

The MoUs were signed by Perodua president and CEO Datuk Seri Zainal Abidin Ahmad and Lee Chun Fai, chairman of Kuantan Port and Group CEO/MD of IJM Corp, witnessed by Transport Minister Anthony Loke.

Through its partnership with Perodua, ECRL will explore the potential of shipping its goods to the East Coast of the peninsula in order to fulfil the rising logistical needs of the maker of compact cars.

The ECRL connection to Kuantan Port plays a pivotal role in trade and investment, Darwis added.

“Strategically situated along the South China Sea and within the world’s busiest shipping lanes, the ECRL will enhance export-import activities via Kuantan Port, facilitating cargo transportation from Sabah and Sarawak, as well as the eastern regional corridor connecting shipping routes to China and Japan, among others,” he added.

Darwis also suggested that extending the ECRL alignment in Kelantan to the crucial connection point of Rantau Panjang, bordering Thailand, could potentially integrate it into the Pan-Asian rail network.

“If that were to happen, the ECRL would be able to tap into Thailand’s entire rail network and link with Kunming, China, via Laos,” he added.

Meanwhile, Zainal said the ECRL is a good fit for the company’s need to expand the way it transports its goods. 

“We are looking to diversify the way we transport our products, and the ECRL is a viable option for this need. This MoU will let us explore in detail all opportunities for both parties.

“The MoU with MRL and Perodua marks a pivotal step in optimising our logistics network,” he said.

Meanwhile, Kuantan Port chairman Lee Chun Fai said it aims to enhance connectivity and efficiency, offer competitive logistics costs, and improve delivery times. 

“This strategic collaboration will enhance our logistics capabilities, establish Kuantan Port as a key gateway to the east, and strengthen trade links within the region. 

“It will facilitate smoother goods movement, support the economic development of the East Coast, and drive significant economic benefits, including job creation and enhanced trade opportunities,” he added.

The mega-railway project, with a construction cost of RM50.27 billion, will pass through 20 stations across Kelantan, Terengganu, Pahang, and Selangor. – June 10, 2024

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