Johor Port eyes Belawan-Johor trade corridor

KUALA LUMPUR, 6 OCTOBER 2026 —

Johor Port Bhd is actively exploring the development of a dedicated maritime trade corridor linking Belawan in North Sumatra, Indonesia, with its own facilities in Southern Johor, a strategic move designed to enhance regional supply chain efficiency and deepen economic integration between the two neighboring nations.

This potential connectivity was formally discussed during a high-level visit by Johor Port officials to Belawan Port in early September 2026. The engagement took place in conjunction with the Indonesia–Malaysia–Thailand Growth Triangle (IMT-GT) 2026 Programme held in Medan, providing a structured platform for both port authorities and participating businesses to exchange perspectives on market demand, logistics requirements, and areas for commercial cooperation.

The timing of the discussions underscores the growing emphasis on intra-Asia connectivity as a driver of regional economic resilience.

Md Derick Basir, the Chief Executive Officer of Johor Port, emphasized that the proposed Belawan–Johor Trade Corridor represents more than a simple logistical link between two terminals. He stated that the opportunity is fundamentally about bringing businesses and markets closer together, creating more efficient pathways for trade, and supporting stronger regional supply chains. Basir noted that Malaysia and Indonesia share strong economic and people-to-people ties, which provide a solid foundation for such collaborative efforts.

From the perspective of Johor Port, the objective is not merely to introduce another shipping route but to develop a commercially sustainable trade corridor that responds to the actual needs of shippers, cargo owners, and logistics providers. The port aims to serve not only as a port of call but also as a commercial partner in developing reliable and efficient regional supply chains.

This approach reflects a broader strategic shift towards proactive engagement with regional markets to ensure long-term viability and relevance in the competitive Southeast Asian shipping landscape.

Belawan serves as a critical gateway to the Northern Sumatra hinterland, while Johor Port provides access to Johor, the wider Malaysian market, and established regional shipping networks. A stronger connection between the two ports would provide businesses with more direct cargo flows and additional options for moving goods across the region.

The proposed connectivity is expected to support cargo movements across a range of sectors, including manufacturing, consumer products, industrial cargo, and other regional trade movements, thereby diversifying the types of goods handled through these corridors.

The discussions in Belawan covered specific operational aspects such as cargo potential, port services, and logistics requirements. Both parties identified possible areas of commercial cooperation, with additional future services contingent upon sufficient cargo demand, reliable operations, and a commercially sustainable services structure. This pragmatic approach ensures that any new services introduced are driven by real market demand rather than speculative capacity expansion, reducing financial risk for the port operators involved.

Johor Port has been progressively developing links with Indonesian outports and other regional markets as part of its efforts to provide customers with broader routing options. Through this approach, the port seeks to extend its commercial reach beyond its immediate geographical hinterland.

The potential Belawan–Johor connection forms part of a broader strategy to expand Johor Port’s commercial hinterland, strengthen regional connectivity, and create additional routing options for Southeast Asian shippers who require flexible and efficient logistics solutions.

As a multi-purpose port in Southern Johor, Johor Port handles container, dry bulk, break bulk, and liquid cargoes. Its container terminal recorded its highest-ever annual throughput of 1.08 million TEUs in 2025, demonstrating the port’s growing role in supporting Malaysia and regional trade. This record performance highlights the increasing volume of trade flowing through the port and underscores the necessity for expanding connectivity options to manage growing cargo volumes efficiently.

The engagement enabled Johor Port to gain a deeper understanding of Belawan’s port facilities, existing cargo flows, and access to the Northern Sumatra hinterland. This knowledge is crucial for designing a trade corridor that effectively integrates with existing logistics networks.

By working closely with Pelindo and industry stakeholders, the parties hope to identify practical opportunities that can strengthen connectivity between Northern Sumatra and Johor while delivering meaningful value to customers on both sides of the border.

Johor Port and Pelindo Regional 1 Belawan will continue to engage with the respective shipping lines, logistics providers, cargo owners, and the wider business community to identify suitable cargo flows and potential shipping partners. This ongoing dialogue is essential for mapping out the specific requirements of different industries and ensuring that the proposed corridor meets the diverse needs of the supply chain.

The collaboration aims to foster a cooperative environment where all stakeholders can benefit from improved connectivity and reduced logistics costs.

The initiative aligns with Johor Port’s strategy to strengthen intra-Asia connectivity and extend its commercial reach beyond its immediate geographical hinterland. By focusing on commercially sustainable trade corridors, the port is positioning itself as a key node in the regional logistics network.

The potential Belawan–Johor connection is seen as a significant step towards enhancing the competitiveness of both ports and the broader regional economy, facilitating smoother trade flows and supporting industrial growth in both Malaysia and Indonesia.

The discussions also highlighted the importance of reliable operations and commercially sustainable services structures in ensuring the long-term success of the trade corridor. Both parties recognized that the viability of the connection depends on consistent cargo volumes and efficient service delivery. By prioritizing these factors, Johor Port and Pelindo Regional 1 Belawan aim to create a robust framework for future cooperation that can adapt to changing market conditions and emerging trade patterns in the region.

The proposed connectivity is expected to have a positive impact on businesses in both countries by providing them with more direct and efficient options for moving goods. This could lead to reduced transit times, lower logistics costs, and improved supply chain reliability. The initiative also supports the broader goals of the IMT-GT, which seeks to promote economic cooperation and integration among Indonesia, Malaysia, and Thailand.

By strengthening maritime links, the ports are contributing to the realization of these regional economic objectives.

Johor Port’s CEO, Md Derick Basir, reiterated the importance of regional collaboration in creating new opportunities for businesses across both markets. He emphasized that the initiative is about more than just connecting two ports; it is about fostering a deeper economic partnership that benefits all stakeholders. By working together, Johor Port and Pelindo Regional 1 Belawan can create a trade corridor that is not only efficient but also resilient and adaptable to future challenges.

The next steps involve continued engagement with shipping lines, logistics providers, and cargo owners to identify specific cargo flows and potential partners. This process will help to refine the details of the trade corridor and ensure that it meets the needs of the market. The port authorities are committed to delivering meaningful value to customers on both sides of the border, making the Belawan–Johor connection a key component of the regional logistics network.

The development of the Belawan–Johor Trade Corridor is a testament to the growing importance of regional cooperation in the face of global economic uncertainties. By leveraging their strategic locations and complementary strengths, Johor Port and Pelindo Regional 1 Belawan are poised to create a significant impact on trade flows in the region. The initiative is expected to enhance the competitiveness of both ports and support the economic growth of Malaysia and Indonesia.

The high throughput recorded by Johor Port in 2025, with 1.08 million TEUs, underscores the port’s capacity to handle increased trade volumes. This performance provides a strong foundation for the expansion of connectivity options, including the proposed link with Belawan. The port’s ability to handle a diverse range of cargoes, including containers, dry bulk, break bulk, and liquid cargoes, makes it well-suited for the development of a multi-sector trade corridor.

The engagement in Belawan also provided an opportunity for both ports to discuss port services and logistics requirements in detail. This exchange of information is crucial for identifying areas where services can be improved or expanded to better meet the needs of customers. The focus on commercially sustainable services ensures that any new initiatives are financially viable and can be maintained over the long term.

The proposed connection is aligned with Johor Port’s strategy to strengthen intra-Asia connectivity and extend its commercial reach. By developing links with Indonesian outports and other regional markets, the port is positioning itself as a key player in the regional logistics landscape. The initiative is expected to provide customers with broader routing options, enhancing the flexibility and efficiency of their supply chains.

The collaboration between Johor Port and Pelindo Regional 1 Belawan is a significant step towards strengthening regional trade linkages. By working together, the two ports can create a more integrated and efficient logistics network that benefits businesses in both countries. The initiative is expected to contribute to the overall economic growth of the region by facilitating smoother trade flows and reducing barriers to commerce.

The discussions in Belawan highlighted the potential for commercial cooperation in various areas, including cargo handling, logistics services, and market development. Both parties are committed to identifying practical opportunities that can strengthen connectivity between Northern Sumatra and Johor. The focus on delivering meaningful value to customers ensures that the initiative is driven by real market needs and provides tangible benefits to all stakeholders.

The development of the Belawan–Johor Trade Corridor is a strategic move that reflects the growing importance of regional cooperation in the global economy. By leveraging their respective strengths and working together, Johor Port and Pelindo Regional 1 Belawan are poised to create a significant impact on trade flows in the region. The initiative is expected to enhance the competitiveness of both ports and support the economic growth of Malaysia and Indonesia.

The high throughput recorded by Johor Port in 2025 demonstrates the port’s ability to handle increased trade volumes and its growing role in supporting regional trade. This performance provides a strong foundation for the expansion of connectivity options, including the proposed link with Belawan. The port’s strategic location and multi-purpose capabilities make it well-suited for the development of a multi-sector trade corridor.

The engagement in Belawan also provided an opportunity for both ports to discuss port services and logistics requirements in detail. This exchange of information is crucial for identifying areas where services can be improved or expanded to better meet the needs of customers. The focus on commercially sustainable services ensures that any new initiatives are financially viable and can be maintained over the long term.

The proposed connection is aligned with Johor Port’s strategy to strengthen intra-Asia connectivity and extend its commercial reach. By developing links with Indonesian outports and other regional markets, the port is positioning itself as a key player in the regional logistics landscape. The initiative is expected to provide customers with broader routing options, enhancing the flexibility and efficiency of their supply chains.

The collaboration between Johor Port and Pelindo Regional 1 Belawan is a significant step towards strengthening regional trade linkages. By working together, the two ports can create a more integrated and efficient logistics network that benefits businesses in both countries. The initiative is expected to contribute to the overall economic growth of the region by facilitating smoother trade flows and reducing barriers to commerce.