Sepang Aims to Secure New MotoGP Contract by Early 2027

Sepang International Circuit is targeting the completion of negotiations and the signing of a new contract with Dorna, the commercial rights holder of MotoGP, for the Malaysian Grand Prix by the start of 2027. The agreement would secure the future of the race beyond the expiration of the current contract after the 2026 season.

Malaysia has been a consistent presence on the MotoGP calendar for over three decades, initially hosting races at the Shah Alam Circuit and Johor Bahru in the early 1990s. The Sepang International Circuit, purpose-built for Formula 1 and MotoGP, made its debut in 1999 and has since become a mainstay of the championship, known for its challenging layout and often unpredictable weather conditions.

The current two-year agreement between Sepang and Dorna, finalized in previous negotiations, is set to expire following the 2026 race. Discussions for a new deal are currently underway, with both parties expressing a desire to continue the partnership.

Local media reports indicate that Sepang may face an increase in hosting fees of up to 20% as part of the new agreement. This potential rise reflects the increasing global popularity of MotoGP and the growing demand for hosting rights, with circuits around the world vying for a spot on the calendar.

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Azhan Shafriman Hanif, CEO of Sepang International Circuit, has stated that the discussions with Dorna have been productive and that the circuit will soon submit a proposal to the Malaysian government for approval. The government’s backing is crucial, as it provides significant financial support for the event.

"At the moment, we are still in talks with Dorna. Also, we will table the paper to the cabinet soon for approval," Shafriman told Motorsport.com, emphasizing the ongoing nature of the negotiations and the importance of government endorsement.

"I hope MotoGP can continue here in Malaysia, but of course, there are so many considerations that need to take place before we can come down and agree on the extension," he added, acknowledging the complexities involved in securing the deal.

"Hopefully, by the early part of next year, we can put pen to paper on the contract," Shafriman concluded, expressing optimism about the timeline for reaching a final agreement.

The Malaysian Grand Prix has consistently drawn large crowds, demonstrating the strong interest in MotoGP within the Southeast Asian region. The 2025 edition of the race saw a record attendance of 190,997 fans over the weekend, despite logistical challenges posed by road closures due to the ASEAN Summit and the visit of then-US President Donald Trump to Kuala Lumpur.

The high attendance figures underscore the economic benefits that the race brings to Malaysia, boosting tourism and generating revenue for local businesses. However, Shafriman has stressed the importance of ensuring that the event delivers sufficient returns on investment to justify continued government support, particularly in light of the potential increase in hosting fees.

When questioned about the obstacles Sepang faces in securing the deal, Shafriman highlighted several key considerations. "There are so many considerations. One of the things that we need to consider is basically the rights fee. And of course, the returns that it brings back to Malaysia. It’s not small money that we are talking about here," he stated.

"There are a lot of things that we need to do better in terms of tickets, travel and so on. There are so many things to resolve," he added, indicating the need for improvements in various aspects of the event organization.

"And one of the main considerations is we need to ensure that the seats are full, so that the government sees this as an opportunity for us to bring in more tourists to Malaysia," Shafriman emphasized, highlighting the importance of maximizing attendance to demonstrate the value of the race to the government.

In addition to hosting the Malaysian Grand Prix, Kuala Lumpur is set to host the MotoGP season launch event in 2026, further cementing Malaysia’s role within the championship. The launch, scheduled for February 6-7, will precede the start of pre-season testing and is expected to attract significant media attention and fan engagement.

Shafriman believes that the season launch event will further elevate the profile of MotoGP in Malaysia and attract new fans to the sport. "I’m looking forward to the MotoGP season launch next year, which will be happening from 6-7 February," he said.

"I hope the event can open up bigger markets to the fans that have not come here and experienced MotoGP. I hope Dorna and also the government, including us, can help to promote MotoGP better," Shafriman concluded, expressing his vision for the future of MotoGP in Malaysia.

The negotiations between Sepang and Dorna come at a time of significant change and growth within MotoGP. The sport has seen increasing global popularity in recent years, with new races added to the calendar and growing viewership figures across various media platforms. This expansion has increased the value of hosting rights, leading to more competitive bidding processes and higher fees for circuits.

For Dorna, securing long-term agreements with established circuits like Sepang is crucial for maintaining the stability and continuity of the championship. Malaysia’s position as a key market in Southeast Asia makes it a strategically important location for MotoGP, attracting a large and passionate fan base.

The outcome of the negotiations will have significant implications for the future of MotoGP in Malaysia. A successful agreement would ensure that the Malaysian Grand Prix remains a fixture on the calendar for years to come, providing a boost to the local economy and showcasing Malaysia as a premier destination for motorsport events. Failure to reach an agreement, on the other hand, would leave a void in the MotoGP schedule and could potentially see the race move to another location.

The Malaysian government’s decision on whether to approve the proposed deal will be influenced by a number of factors, including the economic benefits of the race, the potential impact of increased hosting fees, and the overall strategic importance of MotoGP to Malaysia’s tourism and sports sectors.

As the negotiations progress, both Sepang and Dorna will be carefully weighing their options and seeking to reach an agreement that benefits both parties. The outcome will be eagerly awaited by MotoGP fans in Malaysia and around the world, who are keen to see the sport continue to thrive in this important region.