To share the equipment, the parent company’s equity holding in a subsidiary must be at least 51 per cent, subject to other related conditions.
Shared Use of Prime Movers and Trailers Help Companies Save Time and Cost
As part of its commitment to improving the logistics industry, the Transport Ministry (MOT) has allowed transport companies within the same group to share prime movers and trailer beds.
In a statement, the MOT said, to share the equipment, the parent company’s equity holding in a subsidiary must be at least 51 per cent, subject to other related conditions, and only applicable to containerised cargo until informed otherwise. Additionally, the prime movers or trailers to be shared must be registered with the Land Public Transport Agency (APAD) for application in Peninsular Malaysia and the respective Commercial Vehicles Licensing Board of Sabah and Sarawak.
“The allowed weight should be the lowest weight between laden weight (BDM) of the semi-trailer or trailer or gross combined weight (BGK) of the prime mover. This policy implementation is aimed at empowering the logistics industry in order to optimise existing resources, especially in response to the current challenging economic conditions,” said the MOT.
The Ministry added that this policy implementation is aimed at empowering the logistics industry in order to optimise existing resources, especially in response to the currently challenging economic conditions. Companies would be able to save time and reduce operating costs by between 10 per cent and 20 per cent by shortening the rotation speed of prime movers.
“It will also help reduce the cost of doing business, as transport companies will be able to reduce capital expenditure and operating costs. This reduction is contributed to by the ability of transport companies to optimise existing partnerships without having to increase the number of trailers when this is implemented,” said the MOT.
To date, there are 67,613 lorries carrying containerised cargoes in Peninsular Malaysia, and another 7,278 and 1,467 in Sarawak and Sabah, respectively.