Funding, Planning Key To Malaysia’s F1 Comeback – SIC Chief

“Even if we plan this, it could be in the next three to five years. (It’s) because of the planning, because of the funding, and because of the coordination that we need to do within ministries and also corporate companies.

“But it can happen, I believe it can happen…,” Azhan Shafriman told Bernama in an interview recently.

After joining the Formula 1 calendar in 1999, Malaysia last hosted an F1 Grand Prix in 2017. Since then, the sport has undergone a transformation, both in terms of global audience and commercial focus. 

With the Netflix-fuelled resurgence of F1 fandom and the explosion of Asian sports tourism, Malaysia is suddenly back in the conversation.

But the question remains: is Malaysia ready to make the leap?

 

F1’s expansion in Asia is accelerating, with Thailand set to debut on the calendar in 2028 and Singapore continuing its popular night race.

“If that happens, we’re going to be stuck between Singapore and Thailand on the calendar,” Azhan Shafriman said, noting the geopolitical and commercial significance of regional positioning.

He said SIC stands ready to coordinate a potential comeback, acting as the bridge between government stakeholders and the Formula 1 management.

However, two major challenges persist, namely securing a slot in the tightly packed 24-race calendar and obtaining sufficient funding.

And that calendar is already full, with more countries waiting in line.  

“We are still in discussions with them (F1), building trust. They want to come back here, but the questions are: who’s going to fund it and where do we fit in the calendar… there’s always that element of luck,” he said.

This means Malaysia is not only competing with Thailand and Singapore but with new and emerging bidders from around the globe.

Demand for a slot on the calendar is high, and Formula 1 is known to be strategic in choosing venues that maximise global exposure, sponsorship and logistical balance.  

On the other hand, F1’s pivot to city-based street circuits such as those in Baku (Azerbaijan), and Miami and Las Vegas (the United States) presents an additional challenge.

“The direction that I see now, Formula 1 is moving towards street racing as compared to permanent circuits. But then again, for racing, Sepang makes sense because it is built for Formula 1,” said Azhan Shafriman.

He also noted that the last time Malaysia organised F1 events, the country paid associated fees – Formula One Management – of between US$50 million and US$55 million back in 2017.

“Now, through (the) Netflix (series) ‘Formula 1: Drive to Survive’ and the F1 movie, its popularity has increased,” he added.

With F1’s growing international fan base and commercial profile, Azhan Shafriman raised a critical point about affordability and fan expectations.

“Whether there is a slot which is open for us to come back is one question. But the public also needs to consider that ticket pricing will be expensive if they want Formula 1 to return,” he said, adding that the nature of F1 has always been associated with a premium price tag.

“Now or before, ticket prices have always been high for Formula 1. It has always been more expensive than MotoGP (the world’s premier motorcycle racing championship). And we’ve hosted both, we know the difference. A lot of people want Formula 1 to come back. But the real question is, when we sell the tickets, will there be any take-up?”

According to him, the cost difference is unavoidable given the scale of investment required for F1.

He also pointed to the changing direction under F1’s current owner, Liberty Media, which emphasises a broader event experience.

“With Liberty Media injecting more of a lifestyle and entertainment concept into race weekends, the premium for F1 tickets has to be higher compared to MotoGP,” he added. 

Nevertheless, SIC intends to cater to wider audience groups.

“There will be instances where we provide special seating for those who want to attend. Just like we do for MotoGP with the K2 Hillstand and Ticket Rahmah, we’ll look at similar options for Formula 1,” he said.

Despite rising operational costs and competitive pressures, Azhan Shafriman stressed that the Sepang circuit remains a purpose-built, world-class racing venue.

“Sepang was built for Formula 1, with wide lanes, sweeping corners and overtaking zones. It would be a waste to host it somewhere else when we have this beautiful circuit,” he said.

 

Azhan Shafriman argued that Formula 1 is one of the few global sports products that transcends the race itself, blending engineering, national pride and elite competition.

“Formula 1 is easy to understand because it’s broadcast week in, week out. The amount of engineering, technology… the stamp that comes around with Formula 1, it cannot compare with any other sports in the world,” he said.

Beyond the desire to host an F1 race lies another, more emotionally charged goal: putting a Malaysian driver in Formula 1.

“We had Alex Yoong last time. We almost got Jazeman (Jaafar) into the seat,” Azhan Shafriman said.

But the pathway to F1 is notoriously brutal.

“There are only like 20 seats. And there are hundreds, if not thousands of young kids who are queuing up for the seat,” he added.

Most elite drivers begin karting before they even hit their teenage years. From there, they ascend through national racing series, Formula 3 and Formula 2, with each step more expensive than the last.

“If we have this target to put a Malaysian Formula 1 driver, it needs to start from the grassroots. There needs to be a lot of events being held in Malaysia, go-kart and so on,” he said.

Now, a new frontier is emerging: virtual racing, with sim-racing and e-sports becoming legitimate feeder platforms for real-world motorsports.

“There’s a step right now that we’re looking into that starts from e-sports, then you go on to real racing. If you’ve seen the movie ‘Gran Turismo’, it’s based on a true story… that guy started from sim-racing and then he went on to do real racing,” he said.

 

Azhan Shafriman, meanwhile, believes Malaysia is underestimating the tourism and economic benefits of international events like F1 and MotoGP.

Based on SIC’s economic impact study, a single international spectator contributes over RM7,700 during a seven- to 10-day stay in Malaysia, a figure that scales up rapidly with attendance.

“For 2022 and 2023, the return was about 3.5. Last year, it went up by double… about six, almost six,” he said, referring to the return-on-investment multiplier for MotoGP.

“Our neighbours are doing it… Singapore, Thailand, even Indonesia. And if we don’t step up, we are going to lose more ground,” he warned.

He also said Malaysia needs a strategist to assess all the events that can be brought in. While avoiding direct criticism of policymakers, he urged a more strategic and centralised approach to event acquisition.

“I’m not saying that the government is not doing its job. I’m just saying that it could be more strategic,” he said.

Azhan Shafriman called for a bold rethinking of how Malaysia courts global events, particularly in terms of regulations and red tape.

“We need someone like that (strategist) in our country to look at all these events that we can pull in… because if we need to be global, there’s some leeway that we need to give away. But not affecting the principle of it.

“I mean, we have to respect that Malaysia is a Muslim country. But then again, there are certain things that we have to be relaxed about in order for these people to come. We can’t be so restrictive. If not, people will be running away to the neighbouring country,” he said, adding that if Formula 1 were to return to Malaysia, SIC could take on the role of coordinating it.

He also credited the resilience of his team for keeping the Sepang circuit on track throughout the uncertainties of the pandemic, budget constraints and high expectations. 

“I’ve a brilliant team behind me that supported me throughout the years… I owe it to them,” he said.

He then added, “Sepang is more than just a circuit. It is a symbol of what Malaysia could be if it dares to get back on the grid.”