Kuala Lumpur, Malaysia – The Malaysian government has officially ruled out the return of Formula One to its shores in the near future, citing the prohibitive costs of hosting the premier motorsport event and the sport’s increasingly crowded calendar.
The Financial Reality of Hosting F1
According to Malaysian Sports Minister Hannah Yeoh, the financial burden of hosting a Formula One Grand Prix is a key obstacle. She told parliament that the government would have to commit approximately 300 million ringgit ($71.09 million) annually just for the hosting rights.
Beyond the annual fee, the Sepang International Circuit itself requires around 10 million ringgit a year for maintenance to meet the high standards required for top-level motor racing.
Yeoh emphasized the long-term commitment required, noting that any new contract with F1’s commercial rights holder, Liberty Media, would be for a period of three to five years, a commitment that would amount to a total of approximately 1.5 billion ringgit during that period.
A Crowded Calendar and Regional Competition
In addition to the financial constraints, Malaysia would face an uphill battle to secure a spot on the already packed F1 calendar. The sport has expanded its reach, with new venues vying for a limited number of race slots.
In the Southeast Asian region alone, Malaysia would be competing with established and aspiring hosts. Singapore already stages a highly popular night race, and Thailand has expressed its own ambitions, with its cabinet approving a $1.2 billion bid to host an F1 race on the streets of Bangkok starting in 2028.
While the door is not completely shut on a future return, Yeoh stated that it would only be possible if corporate entities were willing to shoulder the significant costs. The Sepang International Circuit, which last hosted an F1 race in 2017 after dropping off the calendar in 2018, continues to host the annual MotoGP motorbike racing event.
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