Government says MMC Port management appointments remain company matter as long as Malaysian ownership is maintained
PUTRAJAYA: The Federal Government has reaffirmed that it does not interfere in the management decisions of port operators, including the appointment of foreign executives, provided that strategic port assets remain under majority Malaysian ownership in accordance with existing national policies.
Transport Minister Anthony Loke said the government’s regulatory role is focused on safeguarding ownership of strategic infrastructure rather than determining who occupies senior management positions within privately managed concession companies.
He explained that ports, as strategic national assets, must continue to have at least 51 per cent Malaysian ownership, a requirement designed to ensure local control over critical infrastructure while allowing companies operational flexibility.
According to Loke, appointments involving chief executive officers, executive chairpersons or other senior management personnel fall under the authority of a company’s board and shareholders, and do not require government approval.
He noted that the practice is consistent across the industry, adding that several Malaysian ports are already managed by foreign executives without affecting the government’s ownership requirements.
Loke was responding to questions regarding reports that former DP World Chief Executive Officer Sultan Ahmed Sulayem of the United Arab Emirates had been appointed Executive Chairman of MMC Port Holdings Sdn. Bhd.
He stressed that the reported appointment does not alter the government’s regulatory approach, which remains centred on ownership compliance rather than management appointments.
Addressing speculation that MMC Corporation Bhd. owner Tan Sri Syed Mokhtar Al-Bukhary could sell part of his shareholding to foreign investors, Loke said the government has not received any official notification regarding such a proposal.
He explained that any transaction involving ownership changes in concession companies must first be reported to the Public Private Partnership Unit (UKAS) because the companies operate strategic national assets under government concessions.
At present, he said, neither the ministry nor the relevant authorities have been informed of any proposed changes to MMC Port’s ownership structure.
Loke emphasised that while the government remains open to foreign investment, any equity restructuring involving strategic infrastructure must continue to comply with regulations protecting majority Malaysian ownership.
His remarks reinforce the government’s broader policy of encouraging international investment without compromising national interests in critical sectors.
Reuters previously reported that Sultan Ahmed Sulayem had been appointed Executive Chairman of MMC Port Holdings following the immediate resignation of Group Chief Executive Officer Azman Shah Mohd. Yusof.
MMC Port is Malaysia’s largest port operator, managing seven major ports along the Strait of Malacca, including Port of Tanjung Pelepas, Johor Port and Northport, making it one of the country’s most strategically important logistics and maritime infrastructure companies.
Loke reiterated that Malaysia welcomes foreign participation in strategic industries through investment and commercial partnerships, but ownership safeguards remain a fundamental policy to ensure national control over key assets.
He added that as long as the minimum 51 per cent Malaysian equity requirement is preserved and any ownership changes are properly disclosed to the government, operational and management decisions will continue to be left to the respective companies.
