Malaysia Airports Holdings Berhad (MAHB) has signed a Memorandum of Understanding (MoU) with China Henan Aviation Group Co., Ltd (CHAGC) to enhance air cargo connectivity and logistics between Malaysia and China.
The MoU was signed on June 8, 2024, at a document exchange ceremony attended by Malaysia’s Minister of Transport, Loke Siew Fook, and Henan Province’s Executive Vice Governor, Sun Shougang, at the Crowne Plaza Hotel in Zhengzhou, China. This strategic partnership marks the 50th anniversary of Malaysia-China diplomatic relations and aims to strengthen Malaysia’s role in global trade.
Key components of the partnership include the establishment of new air cargo routes between Zhengzhou Xinzheng International Airport (CGO) and KL International Airport (KUL), linking Europe with Malaysia, and reinforcing KUL as a regional logistics hub. The collaboration also focuses on expanding infrastructure to support transshipment and re-export activities.
Loke Siew Fook highlighted China’s significant trade relationship with Malaysia, noting that in 2022, China accounted for 17.1% of Malaysia’s RM2.8 trillion global trade. He emphasized the joint commitment to enhancing cooperation and fostering prosperity between the two nations, further evidenced by Chinese investments of RM170 billion announced during the Malaysia-China Business Forum.
CHAGC, which manages CGO and has international projects at Budapest Ferenc Liszt International Airport (BUD) and Leipzig/Halle Airport (LEJ), plans to establish an air cargo hub in Malaysia to complement China’s Belt and Road Initiative.
MAHB’s Acting Group CEO, Mohamed Rastam Shahrom, expressed that this MoU reinforces MAHB’s commitment to global trade by expanding air cargo connectivity and logistics capabilities, which will drive regional economic growth.
Aligned with Malaysia’s National Transport Policy 2019-2030 and the New Industrial Master Plan 2030, MAHB has been enhancing KUL’s cargo facilities under the KLIA Aeropolis Master Plan. In 2023, KUL handled 700,000 metric tonnes of cargo, serving 21 scheduled freighters across 40 countries.
Significant developments include the 2017 conversion of the former LCCT into KLIA Air Cargo Terminal 1 (KACT1), and the 2020 completion of the Cainiao Aeropolis eWTP Hub in collaboration with Alibaba’s Cainiao, providing 1 million sqft of Regional Distribution Centre space. Additionally, DHL Express launched a fully automated sorting facility with a 10,000 parcels per hour capacity in early 2024.
Looking ahead, MAHB plans to accelerate KUL’s growth with the first phase of Aeropolis Industrial Park, covering 200 acres and targeting high-value sectors such as aerospace, electronics, and halal and cold chain logistics.