After investing S$14 billion in Malacca Gateway and S$17.8 billion in the East Coast railway in Johor Malaysia, China is now supporting an ambitious S$64.3 billion (RM200 billion) trading port project in Carey Island – an offshore island just 40km south west of capital Kuala Lumpur.
The 20-year-long trading port project with a 100 sq km land mass is aimed to increase competition in the lucrative Malacca Straits, which services an annual US$600 billion worth of oil trade.
Chairman of Malaysia’s Port Klang Authority commented that China has expressed interests in developing the Malaysian project:
“We are open to interested parties from port operators, shipping lines and infrastructure developers. They can be from China, Japan, USA, UAE, India, etc. China is keen on developing the whole place. In China, every port is developing capacity now. We need to do something big to trade with them. Otherwise, we will be forever small.”
According to Malaysia’s Transport Minister, in talks with Malaysia is China’s state-owned enterprise, China Merchants Group (CMG). The Carey Island project will serve not only as a sea port, but also a maintenance and repair port for vessels.
China is currently not investing in Singapore’s maritime infrastructure and has in recent years diverted funding and attention on Malaysia because the Singapore ruling party government is a major United States ally. China-Singapore relationship is currently at its bottom and declining further as the Singapore government refuses to acknowledge the One-China policy.
Singapore’s only natural resource is it’s strategic maritime location, which earned its name “the crown colony” during the British Colonial period.