ECRL Operations to Be Managed 50-50 in Joint Venture Between Malaysia and China

KUALA LUMPUR — Malaysia Rail Link (MRL) and China Communications Construction ECRL (CCCECRL) have entered into a joint-venture agreement to oversee the operations of the 665km East Coast Rail Link (ECRL), which will connect Kota Baru in Kelantan to Port Klang in Selangor.

Transport Minister Anthony Loke announced that both parties will equally share operational risks, including financial deficits, in the newly formed operating company. However, Malaysia will receive 80% of any operational profits, while the Chinese partner will take 20%. This agreement, renegotiated in 2019, aims to ensure the sustainability and profitability of the project, despite the challenges in turning a profit in the rail sector.

MRL will retain full ownership of ECRL assets, and 80% of the workforce for the rail line’s operations and maintenance will be sourced locally. The ECRL project is currently 76% complete.

Loke also unveiled the new official ECRL logo and the design for the electric multiple unit (EMU) trains, manufactured by CRRC Dalian. The six-car EMUs, designed for up to 430 passengers, will operate at speeds of 160 km/h, with the first set expected by the end of 2025. These trains will begin service in January 2027, offering a four-hour journey from Kota Baru to Gombak.

Additionally, CRRC Dalian will supply two E-Loco trains for cargo, which will be assembled in Malaysia as part of a technology transfer initiative.