In 1846, Labuan was ceded to the British by the Sultan of Brunei so that the British Empire could suppress pirate activity with a petrol station placed between Singapore and Hong Kong. It was then that Labuan was declared a duty free port. Two years later the island became an official British colony. It wasn't until 1963 (115 years later) that Britain relinquished control of Labuan. Japan did occupy the island for 3 years during World War II, but otherwise there were no breaks from British administration. The designation was reinstated in 1946 after it was nullified by the Japanese.
Labuan gained its independence as part of the State of Sabah that formed the Federation of Malaysia in 1963. It was proclaimed a Federal Territory in 1984 and an International Offshore Financial Centre (IOFC) in 1990. Under this new administration, Labuan's strategic proximity to major shipping routes and offshore oil and gas fields was promoted. Today, Labuan has become a thriving free port, offshore oil and gas industry base, tourist destination, and a leading international offshore financial centre.
The Port Location
Daily temperatures average between 28 to 32 degrees Celsius.
The Labuan Liberty Port is the main port of entry for vessel carrying general cargoes, bulk cargoes and containers in Labuan.
It has a 244-meter long jetty with draft of 8.54 meter and capacity to handle vessels of up to 16,000 DWT.