In contrast, the impact of the global economic turmoil is much lesser on the ship repair
segment in the country. The slight increase in ship repair activities could be due to:
• High seaborne trade in Malaysia resulting in high number of ships needing repair
• High value of government vessel refit programme
• Conversion vessel project by a few shipyards in Malaysia
East Malaysia has great potential from a geographical aspect, which is important in terms of
repair facilities as they would need to be easily accessible by customers. However, there is a
limitation due to the river mouth’s depth and air draft issue. As for Peninsular Malaysia, the
number of vessels passing the Straits of Malacca had reached to 83,740 in 2016. Some of the
shipyards are fully occupied with fishing vessel repair works as there are about 6,000 fishing
vessels in the northern part of Peninsular Malaysia. 4
However, opportunities were still lost to neighbouring countries due to limited capacity and
capability of local shipyards along the straits. To enhance the prospect of offering SBSR
products and services to the international market, Malaysia needs to enhance its capabilities
and nurture its manpower to cater for high-end, specialized and revenue-generating activities.
Vessels (Imported & Locally Built) in Malaysia (2014-2016)
350
300
250
283 289
2015 2016
225
200
150
100
50
0
2014
Source: Marine Department Malaysia, MIGHT
4
Malaysian Shipbuilding/Ship Repair Industry Report 2017/2018
Environmental Scan – Maritime (Shipbuilding and Ship Repair -SBSR) Sector
9