New Freight Train Linking Malaysia and China to Boost Trade
A new freight train connecting Selangor, Malaysia, and Yunnan, China, is set to enhance trade between the countries as part of China’s Belt and Road Initiative. The trial service will span approximately 10 days from Kunming to Petaling Jaya, passing through Laos, Thailand, and Malaysia. This new rail link is expected to reduce logistics costs and boost market access for small and medium-sized enterprises in Malaysia.
A new freight train service connecting Selangor, Malaysia, and Yunnan, China, is set to enhance trade between the two countries as part of China’s Belt and Road Initiative.
Starting from Kunming, China, the trial service will pass through Laos, Thailand, and Malaysia, eventually reaching Petaling Jaya in Selangor.
The journey, which takes about 10 days, is significantly faster than the usual sea route which takes over 20 days.
The service, expected to be operational by September, will be operated by China State Railway Group Corp (China Railway) with cooperation from Malaysia's KTM.
This initiative aims to strengthen existing rail transport ties and potentially pave the way for high-speed rail projects.
Malaysia’s Deputy Prime Minister Zahid Hamidi emphasized the importance of this project in reducing logistics costs and increasing market access for small and medium-sized enterprises (SMEs).
China has invested in new rail links to its ASEAN trading partners, with Malaysia being a key partner.
Malaysia's halal exports to China are set to increase significantly with the new rail link, benefiting the local SMEs.