The belt and road initiative: a pragmatic constituent for the growth of Malaysian seaport system

Abstract

This paper explores the transport connectivity and capacity issues, implication and strategies that need to be considered by the Malaysian seaport system to effectively exploit the benefits associated with the Belt and Road Initiative (BRI). Further, the paper recommends appropriate strategies to address the apparent operational and capacity shortcomings of the Malaysian port and logistics system since the inception of the BRI. An explanatory sequential mixed method research design was adopted for the study. The findings reveal three-fold benefits of the BRI: increased trade volume for Malaysian seaports, improving seaport-hinterland intersection and refining seaport infrastructure. Key issues confronting the Malaysian seaport system that needs to be addressed to effectively exploit the inherent benefits of the BRI are: poor demand for rail freight in Malaysia, lack of capacity in rail freight as well as safety and inefficiency concerns in cross-border trade. This paper advocates the need for an investment plan on seaport equipment and seaport expansion.