Malaysia affirms readiness for developing Pan-Asian Railway Network

Malaysia is ready to develop the Pan-Asian Railway Network (PARN), a rail infrastructure initiative aimed at connecting Malaysia and China to boost trade, particularly in the halal industry, a Malaysian official has said.

Transport Minister Anthony Loke said that Chinese President Xi Jinping, during his recent state visit to Malaysia, expressed support for the PARN project, which is seen as a gateway to expanding market access into western China, including the Inner Mongolia region and Xinjiang, which have significant Muslim populations.

This presents opportunities to export halal products to those regions directly via rail, the Malaysian minister told a press conference on April 18.

Loke said the Malaysian Government places strong emphasis on the development of global rail connectivity, as it presents significant opportunities for the country and enhances regional cooperation.

In 2024, Malaysia launched a pilot project known as the ASEAN Express, a joint initiative between Keretapi Tanah Melayu Bhd (KTMB), its largest railway company, and the State Railway of Thailand (SRT). The collaboration, which also gathers partners in China, aims to transport cargo from Malaysia to Chongqing, China, with a transit time of nine days.

However, the minister also pointed out that there are still several challenges in implementing a global rail service, particularly concerning legal and regulatory restrictions, which Malaysia will work with the relevant countries to address.

Last year, Loke called on ASEAN member states to strengthen regional integration by linking railway networks, thus facilitating a freer flow of goods across the region. He said connectivity, particularly linking rail networks from Peninsular Malaysia to Thailand, Laos, and China, has long been a part of ASEAN’s long-term vision.