The Sarawak state government will commence construction of the Northern Coastal Highway (NCH) in Q3 2025. The 87.96 km highway will connect Limbang and Lawas via Brunei through upgraded border checkpoints at Tedungan–Pandaruan and Mengkalap–Merapok. The project, valued at over RM6 billion and funded by the state government, will enhance cross-border connectivity, shorten travel time, and stimulate regional development in northern Sarawak.

The NCH will include bridges over Sungai Limbang and Sungai Lawas, 44 bus stops, eight pedestrian bridges, and four rest and service areas. Phase 1, currently underway in Limbang and Lawas, is scheduled for completion by 2030. The project complements the Sabah–Sarawak Link Road (SSLR) and Pan Borneo Highway network by enabling direct overland travel without requiring entry into Brunei.