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Thailand is pushing ahead with its long-pending Land Bridge project, valued at nearly USD 31 billion, as recent disruptions in the Strait of Hormuz highlight risks in global shipping routes. The plan involves linking two deep-sea ports across southern Thailand to create an alternative to the Malacca Strait. The government is expected to place the proposal before the cabinet soon and begin seeking investors, including Singapore. The project had earlier stalled due to political instability and incomplete clearances, but renewed geopolitical concerns and trade risks have brought it back into focus.
Thailand is moving forward with its long-discussed Land Bridge project, aiming to strengthen regional logistics and reduce dependence on key maritime chokepoints. The renewed push comes after disruptions in the Strait of Hormuz highlighted vulnerabilities in global trade routes and supply chains. Advertisement
The government is now actively engaging potential investors, including Singapore, as it looks to develop the project across its southern peninsula. The plan had earlier been set aside due to political uncertainty, along with pending public consultations and environmental and health impact assessments. Some resistance from local communities had also contributed to delays.
Authorities are preparing to submit a proposal to the cabinet in the coming months, with plans to invite investment for the project, which is estimated to cost around 1 trillion baht (USD 30.97 billion). The government is targeting an investor outreach phase shortly after approval, indicating a more structured execution timeline compared to earlier attempts.
The Land Bridge concept involves building two deep-sea ports—one in Ranong on the Andaman Sea and another in Chumphon on the Gulf of Thailand. These ports would be connected by around 90 km of road and rail infrastructure, along with supporting energy systems such as pipelines. This corridor is expected to create a direct link between the Indian and Pacific Oceans.
The project is positioned as an alternative to the Malacca Strait, one of the world’s busiest shipping routes, which handles over 100,000 vessels annually. Any disruption in this narrow channel can have significant implications for global trade, particularly for energy supplies and goods moving between East Asia, the Middle East and Europe.
Thailand’s leadership recently discussed the project with Singapore’s defence minister, where the proposal was presented as a potential economic opportunity for both Thailand and foreign investors. Singapore, given its strategic position at the Malacca Strait and its strong investment presence in the region, is seen as a key stakeholder in the project’s potential success.
The renewed focus on alternative trade routes also comes amid broader regional discussions on monetising existing shipping lanes. Indonesia had recently explored the idea of imposing tolls on vessels passing through the Malacca Strait, although the proposal was later clarified and not pursued further.
The Land Bridge project is also being seen as a more practical alternative to the long-debated Kra Canal, which proposed cutting a canal across southern Thailand. That idea has faced consistent opposition due to environmental concerns, high costs and security implications, making the Land Bridge a relatively more feasible option.
Thailand has been exploring this concept for decades, but changing geopolitical dynamics, increasing trade volumes and recent disruptions in key maritime routes have added urgency to its implementation. The project could reshape regional logistics if executed effectively, while also positioning Thailand as a critical transit hub.
Source Reuters
5th Jun, 2025
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