Malaysia’s Railway Assets Corporation (RAC) has unveiled a comprehensive strategy to revive and expand the country’s rail freight sector as part of the National Transport Policy 2030. The plan includes procuring 44 new locomotives and 1,200 freight wagons, refurbishing 246 idle wagons and locomotives, reopening the 39.9 km Kempas Baru rail line, and establishing six new freight stations. These efforts aim to shift cargo transport from road to rail, addressing safety, sustainability, and congestion challenges in the logistics sector.
Freight volume by rail is rising, with KTMB handling over 324,000 TEUs in 2022, up from nearly 199,000 in 2020. To meet this growing demand, RAC is refurbishing existing assets through public-private partnerships, with the full upgrade scheduled for completion by 2027. The upgraded Kempas Baru line has already boosted train frequency and tripled daily cargo capacity. Meanwhile, the government has launched a request for proposals to develop new intermodal hubs along the existing network. These initiatives are part of a broader long-term plan under the 13th Malaysia Plan to build a reliable, cost-efficient rail logistics backbone aligned with sustainability goals and national development priorities.