Malaysian F1 Return 'Not Impossible' Despite Government Funding Snub
Despite the Malaysian government's refusal to fund its return, the Sepang International Circuit CEO states a long-term Formula 1 comeback is "not impossible." Facing a reported $70 million hosting fee and fierce competition for calendar slots, Sepang hopes corporate partners can eventually revive the Malaysian Grand Prix, acknowledging the immediate focus remains on MotoGP. The circuit's infrastructure is ready, but securing a spot on F1's crowded schedule and private funding are key hurdles.
The Sepang International Circuit's management believes the Malaysian Grand Prix could one day return to the Formula 1 calendar, even as the government has ruled out financial support for the event. Despite the current lack of public funding and a crowded F1 schedule, Sepang remains hopeful, citing the improved financial climate of F1 under Liberty Media and the circuit's ready infrastructure.
Why it matters:
Malaysia's departure from the F1 calendar after 2017 was a blow to Southeast Asian motorsport fans. With F1 experiencing unprecedented global growth and record attendances, a potential return for a circuit like Sepang highlights the increasing demand for hosting races and the evolving financial dynamics of the sport. A return would also signal a broader interest in F1's expansion beyond traditional markets.
The Details:
- Government Stance: The Malaysian government has explicitly stated it will not provide funding for the F1 Grand Prix, citing a focus on public needs over spending millions on a sporting event.
- Hosting Fee: Liberty Media is reportedly quoting a hosting fee of around $70 million for a Malaysian Grand Prix.
- Circuit's Perspective: Sepang CEO Azhan Shafriman Hanif stated, "I'm pretty sure Formula 1 will come back someday, but not now." He believes a return is possible with the right corporate support.
- No Government Funding Scenario: Shafriman stated that hosting an F1 race without government funding is "not impossible," but would require finding the "right partner" and careful consideration of return on investment for high fees.
- Calendar Capacity: F1's calendar is currently at its maximum capacity of 24 races, making it challenging for new or returning venues to secure a spot in the short term.
- Competition: Malaysia faces stiff competition from other countries, including Thailand (which has allocated $1.2 billion for a Bangkok street race), Rwanda, and Argentina, all vying for a place on the F1 calendar.
- Potential Openings: Future calendar slots could open with Zandvoort reportedly exiting after 2026 and Spa-Francorchamps joining a rotational system, not hosting races in 2028 and 2030.
- Circuit Readiness: Shafriman confirmed that Sepang's infrastructure and homologation standards are largely up to par, requiring only minor tweaks to host an F1 event.
- MotoGP Focus: Sepang's immediate priority is renewing its MotoGP contract, which expires at the end of 2026, with confidence in securing a new multi-year deal.
The Big Picture:
Liberty Media's acquisition of F1 significantly boosted its financial appeal, making grand prix hosting a lucrative, albeit expensive, venture. This has led to a surge in interest from various countries, creating an intensely competitive environment for calendar slots. While traditional circuits like Sepang face new challenges, their established infrastructure and fan base remain valuable assets in the long term, even as new street circuits and rotational systems emerge.
What's next:
Sepang will continue to explore avenues for corporate sponsorship to potentially bring F1 back without burdening the government. The long-term prospect hinges on identifying suitable private partners and navigating a dynamic F1 calendar that is constantly evolving with new venues and rotational agreements. For now, the focus remains on securing its MotoGP future while keeping the door open for F1's eventual return.