Malaysia’s logistics crunch is a ‘ticking time bomb’, shipping chief warns
KUALA LUMPUR, Aug 26 — Malaysia needs to address the lack of investment across its shipping and logistics ecosyste...
Malaysia's logistics sector is facing a critical challenge, warns the country's shipping chief. Shipping Association Malaysia (SAM) chairman Ooi Lean Hin, also co-founder and managing director of MTT Shipping and Logistics Bhd, stated that the country must address the lack of investment across its shipping and logistics ecosystem as cargo volumes increase but supporting industry capacity shrinks.
Gateway cargo is experiencing compounded growth, yet trucking industry capacity is dwindling, with many operators seeking to exit the business. Ooi highlighted the industry's struggles with congestion, poor turnaround, and driver shortages, emphasizing that unresolved issues like investment and driver salaries pose significant risks.
He stressed that expanding port capacity alone is insufficient; addressing capacity gaps throughout the supply chain is crucial to support future growth. Maritime industry expert Nazery Khalid echoed this sentiment, stating that port competitiveness extends beyond capacity, encompassing various factors such as ESG adherence, energy efficiency, and digitalization.
He cautioned that the traditional 'build it and they will come' model is outdated. Westports Malaysia Sdn Bhd CEO Vijaya Kumar Puspowanam also underscored the importance of anticipating future demand and taking risks in capacity investments, expressing confidence in their plans to double current capacity by 2028.
Written by urgent.news from Malay Mail's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
