The Government of Malaysia has been constructing the RM492 million Perlis Inland Port (PIP) to strengthen trade with China and Thailand, with completion set for Q3 2025. The port will handle 300,000 TEUs annually, easing congestion at Padang Besar and enhancing regional rail connectivity, including links to Penang Port and the East Coast Rail Link (ECRL).

The RM50.27 billion ECRL project, financed by China’s Exim Bank, will connect Port Klang to Malaysia’s east coast and integrate into China’s Pan-Asian Railway network. Transport Minister Anthony Loke highlighted PIP’s role in facilitating international trade and increasing Malaysia-Thailand bilateral trade to USD30 billion by 2027.

Developed by Mutiara Perlis, a joint venture between Mutiara Infra and the Perlis state government, PIP is expected to create over 500 jobs. However, security concerns in southern Thailand may pose investment risks for the Pan-Asian Railway.