The Penang International Logistics Aeropark (PILA) project at Penang International Airport has commenced in the first quarter of 2026 in Malaysia. The development aims to upgrade and expand the airport’s cargo handling infrastructure to strengthen Malaysia’s air freight capabilities.

Phase 1 of the project will increase the airport’s cargo handling capacity from 0.16 million tonnes to 0.5 million tonnes per year. The phase includes the construction of a new cargo terminal, a taxiway and two aircraft parking aprons to support increased air cargo operations and improve logistics efficiency.

The project forms part of broader efforts under the National Transport Policy 2019–2030 to position Malaysia as a regional logistics and distribution hub. In parallel, the government is working with Malaysia Airports Holdings Bhd and other stakeholders to modernise the air cargo ecosystem through policy reforms and digitalisation initiatives. Authorities are also advancing port and rail connectivity projects, including the development of new port terminals and railway spur lines linking major ports and industrial hubs.