Malaysia has launched its second Littoral Combat Ship (LCS), named Raja Muda Nala, amid growing regional tensions and intensified great-power competition in the South China Sea. The vessel, a state-of-the-art warship built domestically by Lumut Naval Shipyard, represents not only a critical step in the Royal Malaysian Navy’s (RMN) transformation but also a test of Malaysia’s industrial resolve and maritime sovereignty.
The ceremony, held at the Lumut Naval Base in the state of Perak, was officiated by Tengku Permaisuri of Selangor, Tengku Permaisuri Norashikin. In keeping with longstanding maritime tradition, the royal consort poured blessed water — drawn from the recitation of Surah Yasin at nine mosques across Selangor’s districts — over the ship’s bow. The ritual served as a powerful symbol of the ship’s spiritual protection and Selangor’s enduring heritage.
Adding ceremonial gravitas to the occasion, His Royal Highness Sultan Sharafuddin Idris Shah, Sultan of Selangor, presided over the event. The royal presence not only signified deep-rooted support from Malaysia’s traditional rulers but also underscored the national importance of the LCS programme — a defence initiative that has, until recently, been clouded by political and financial controversy.
The naming of the ship as Raja Muda Nala is more than a ceremonial gesture; it is a deliberate invocation of history. Raja Muda Nala was a 19th-century Selangor warrior and prince who led a spirited resistance against Dutch colonial forces during an era when maritime supremacy meant political survival.
“The name Raja Muda Nala reflects a timeless spirit of defiance and loyalty,” said Deputy Defence Minister Adly Zahari, delivering remarks on behalf of Defence Minister Datuk Seri Mohamed Khaled Nordin. “It symbolises our intent to guard our shores with the same courage our ancestors showed in defending theirs.”
Adly also pointed out that the LCS’s capabilities mirror the strategic environment Malaysia faces: multi-domain readiness, littoral agility, and the ability to face both conventional and grey-zone threats. “The LCS is designed for anti-surface warfare, anti-submarine warfare, and electronic warfare, making it a versatile asset in an increasingly complex maritime arena,” he said.
The Raja Muda Nala is the second vessel in the RMN’s ambitious 15-to-5 Transformation Programme, which aims to rationalise and modernise the navy’s fleet from 15 classes of ships to just five, thereby enhancing operational efficiency, standardisation, and readiness. Central to this transformation is the LCS class, based on the French Gowind 2500 corvette design but customised for Malaysia’s maritime theatre.
Each LCS vessel carries an estimated price tag of over USD 450 million (RM2.12 billion), making them among the most technologically advanced warships ever commissioned by Malaysia. They are equipped with a full complement of vertical launch systems, Thales SMART-S radar, electronic countermeasure systems, and integrated combat management platforms capable of fusing sensor data from across the battlespace.
Adly Zahari described the second ship’s launch as “a potent symbol of national pride,” noting that it was “the first frigate-class warship fully constructed by a domestic company,” referring to Lumut Naval Shipyard (LNS). The shipyard, formerly known as Boustead Naval Shipyard, has undergone a transformation of its own — emerging from scandal and setbacks to reaffirm its relevance as a builder of complex surface combatants.
With the launch of Raja Muda Nala, Malaysia has passed a milestone that extends beyond military readiness. The successful downslip — the process of transitioning the ship’s hull from dry dock to water — marks a maturation of local shipbuilding capacity.
“This achievement reflects the capabilities of local talent to compete in the global heavy industry and defence sector,” Adly stated. “We are not just building ships — we are building skills, technologies, and sovereign capabilities.”
Lumut Naval Shipyard’s revival is central to Malaysia’s vision of self-reliance in defence. The LCS project includes technology transfer agreements, upskilling of local subcontractors, and deep integration of Malaysian engineers into design, assembly, and testing. From propulsion systems to stealth capabilities, the vessels incorporate indigenous contributions alongside foreign technology.
This effort to reduce dependence on foreign arms suppliers echoes a broader trend in Southeast Asia, where countries are increasingly wary of supply chain vulnerabilities amid geopolitical uncertainty. Malaysia’s push for indigenous defence capability comes at a time when the Philippines is ramping up frigate acquisitions and Indonesia is expanding its own naval production through PT PAL.
Despite the fanfare, the LCS programme has not been without its tribulations. Initially launched in 2011, the programme envisioned the delivery of six ships by 2023. However, political instability, budget shortfalls, and alleged mismanagement led to widespread delays. By 2020, not a single vessel had been completed despite billions in expenditure.
The Public Accounts Committee (PAC) of the Malaysian Parliament opened investigations into the programme, triggering widespread public criticism. Questions were raised about the viability of the project, with critics describing it as emblematic of Malaysia’s procurement dysfunction.
The first ship, Maharaja Lela, launched in May 2024, is still undergoing its Set-to-Work (STW) phase, with sea trials scheduled for late 2025. The second ship, Raja Muda Nala, completed its downslip on May 8, 2025, and is now entering outfitting — a critical stage in which onboard systems are integrated and tested.
As of May 25, 2025, overall construction progress across all five contracted vessels stands at 72.43%, a figure watched closely by both industry stakeholders and political observers.
Malaysia’s renewed focus on maritime security could not come at a more critical juncture. The South China Sea, a vital waterway for global commerce and energy flows, has become a flashpoint for great-power competition. China’s increasing militarisation of artificial islands and assertive patrols by the China Coast Guard (CCG) have directly challenged the maritime claims and operations of ASEAN states, including Malaysia.
Although Malaysia maintains a generally quiet diplomatic posture on the South China Sea, incidents have increased in frequency. Malaysian oil and gas operations off the coast of Sarawak have repeatedly been shadowed by Chinese survey vessels and coast guard ships.
“Malaysia needs credible deterrence,” said defence analyst Shahriman Lockman of the Institute of Strategic and International Studies (ISIS) Malaysia. “And credible deterrence requires capable, modern, and persistent maritime forces — not just patrol boats, but ships that can operate across domains, in contested environments.”
The LCS, with its stealth design and advanced sensors, fills a critical gap in RMN’s surface fleet. While not intended for power projection in the blue-water sense, these ships will provide RMN with greater flexibility in asserting its presence within Malaysia’s 450,000-square-kilometre Exclusive Economic Zone (EEZ).
Malaysia’s naval modernisation also has a diplomatic dimension. In recent years, Malaysia has participated in more bilateral and multilateral naval exercises, including with the United States, Australia, India, and Japan. Ships like Raja Muda Nala will enhance Malaysia’s ability to participate in these operations, including humanitarian assistance, disaster response (HADR), anti-piracy, and counter-narcotics patrols.
According to Professor Collin Koh of the S. Rajaratnam School of International Studies in Singapore, the LCS programme should be seen as part of Malaysia’s attempt to maintain an “independent, yet interoperable” defence posture.
“By enhancing its own capabilities, Malaysia contributes to a more balanced regional security architecture, one where smaller states are not passive observers but active defenders of maritime norms,” he said.
Beyond the hard power implications, Raja Muda Nala carries the burden of restoring public faith in Malaysia’s defence acquisition system. The government has responded to past criticism with increased transparency, periodic project audits, and tighter oversight of budget flows.
Lunas, the primary project contractor, echoed this sentiment in a recent statement: “As Malaysia’s only shipyard with full capability to design and build guided missile warships, this ceremony marks another key milestone. It demonstrates the nation’s commitment to strengthening maritime sovereignty through high-tech naval assets.”
Furthermore, the programme promises economic dividends beyond defence. Shipbuilding stimulates a vast ecosystem, from steel manufacturing and logistics to electronics and high-skilled engineering. The local content of the LCS programme is expected to reach 60%, a figure considered high in global defence manufacturing standards.
“The role of Lumut Naval Shipyard is crucial in stimulating national industry — not only in defence, but also in civil shipbuilding, maritime services, and upskilling,” said Adly.
With outfitting now underway, Raja Muda Nala is expected to enter sea trials by mid-2026. The success of these trials will be pivotal in determining whether Malaysia can deliver modern, complex warships on a sustainable timeline.
The RMN has made clear that it needs all six ships to maintain operational tempo across its dispersed maritime zones, particularly the East Malaysian seaboard. Any further delays could leave key stretches of Malaysia’s coast vulnerable in an era of increasingly hybrid maritime threats.
Yet for now, the launch of Raja Muda Nala offers a moment of optimism — a chance to reset the narrative around the LCS programme and reaffirm Malaysia’s strategic ambition in an increasingly contested maritime theatre.
