The Sepang International Circuit has confirmed that it will once again host a Formula 1 round in October, but all revenue from ticket sales will be allocated to Bahrain. The race will replace the Bahrain GP, canceled due to the war in Iran, and will be held from October 2 to 4 on Malaysian soil, keeping the original event name.
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Sepang’s return to the calendar marks the first race of the category at the circuit since 2017. Although taking place in Malaysia, the race will not be officially considered a Malaysian GP, as it will be held under the name of the Bahrain GP.
In an interview with the press this Tuesday, Sepang CEO Azhan Shafriman Hanif explained that the circuit will not have autonomy to set ticket prices and will also not keep the amounts collected from sales.
“All ticket sales revenue will go back to Bahrain, so we do not have absolute power to determine certain things. I will try to negotiate a special price, perhaps a differentiated value for those who have the MyKad (Malaysian identity document). But the final decision is Bahrain’s, because they are paying the Formula 1 promotion fee,” he said.
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According to Azhan, Sepang will share the event’s operational costs with the Bahrain GP organization, while the rights to host the race will be fully paid by the Middle Eastern country. Expenses for track preparation and event operation are estimated at around US$ 13 million.
Even without receiving ticket revenue, the executive believes the economic impact of Formula 1’s return will justify the investment. “We need to look at the indirect effect. Reports from countries hosting Formula 1 show they can generate more than three times the invested amount. This means Malaysia has the potential to obtain more than RM 1 billion in economic impact.”
Azhan added that since the announcement of the category’s return, the circuit has already received inquiries about sponsorships, festivals, and other commercial actions. He also revealed that a Formula 1 delegation has already conducted an inspection at Sepang and concluded that the circuit meets the requirements to host the race. Before the October event, however, interventions will be made in the escape areas and part of the racetrack infrastructure.
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