Malaysia to build port near Kuala Lumpur amid supply chain shift

KUALA LUMPUR : Malaysia will build a $425 million AI-powered container port near Kuala Lumpur to meet the changing demands of the supply chain and improve the quality of logistics services.

Malaysia will build a new container port along the west coast of the Malay Peninsula as the country prepares to meet the demand for logistics services caused by global changes in supply chains.  

The $425 million port will be the first in Malaysia to use artificial intelligence to improve operational efficiency. The AI system will analyze traffic data, plan ship movements, track maritime operations at the port, and manage automated logistics.

The project will be led by local developer Tanco Holdings in cooperation with Chinese marine engineering company CCCC Dredging Co, part of the state-owned China Communications Construction Co. The parties signed a memorandum of understanding earlier this month. But they have not yet announced the expected date of completion.

According to the report, the port will be built in Port Dickson, Negeri Sembilan. Located close to Kuala Lumpur and the middle of the Strait of Malacca, it can benefit from high traffic and connectivity to key industrial regions in Malaysia.

The port will have a 1.8-kilometer berth, terminal and container area of approximately 800 square meters. It is expected to accommodate the largest container ships.

According to the report, the port will also be equipped with automated cranes, unmanned trucks and top-level cybersecurity measures

As global companies diversify their supply chains, Malaysia is benefiting by attracting investment from electronics manufacturers and other industries. The country’s largest Port, Klang, plans to double its capacity to meet demand.

The new port can significantly boost logistics and maritime transportation services in the country, as a network of roads and highways will connect it to major industrial areas.

Source : Nikkei Asia.