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Shadow fleet exploits AIS spoofing off Malaysia coast

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Shadow fleet exploits AIS spoofing off Malaysia coast
In maritime trade compliance, detecting AIS spoofing is becoming increasingly essential, particularly near Malaysia’s coastline, where illicit ship-to-ship transfers of sanctioned oil are on the rise.

A recent report from Lloyd’s List Intelligence highlights that over 50 ‘shadow fleet’ vessels manipulate their AIS signals every month within Malaysia’s outer port boundaries—a critical hub for Iranian crude shipped to China.

Despite Malaysia’s promises to strengthen enforcement through new regulations, Lloyd’s List Intelligence notes that “no details have yet emerged, and dark STS transfers continue unchecked.”

This regulatory gap forces maritime intelligence providers to rely on advanced detection technology to expose these covert operations and mitigate maritime risks.

AIS spoofing, which involves falsifying a vessel’s location to hide true movements, represents a complex and evolving threat. A clear instance involved the tanker Lafit (IMO: 9379698), flagged to Sao Tome and Principe, which falsified its position near the Singapore Strait for close to three weeks in May 2025.

The distinctive “box pattern” detected confirmed the data’s fabrication (see below).

© Lloyd’s List Intelligence

Tools like SeaOrbis employ a hybrid of machine learning and rule-based analytics to detect suspicious vessel behaviours such as unrealistic speedsimpossible routes, and anomalies indicating intentional deception.

Bridget Diakun, Senior Risk and Compliance Analyst at Lloyd’s Register, pointed out that while some vessels spoof their AIS briefly, others, like Lafit, engage in prolonged falsification, making it difficult to track the scale of illicit STS transfers.

Malaysian officials have admitted enforcement challenges, with Foreign Minister Dato’ Seri Mohamad Hasan acknowledging: “This ship-to-ship issue has become a thorn in our side.”

The problem is exacerbated by much of the illegal activity occurring outside Malaysia’s 12-nautical-mile territorial waters, limiting enforcement power without new laws.

Lloyd’s List Intelligence stresses that AIS spoofing is a worldwide compliance challenge. With intensifying sanctions and increasing deceptive tactics such as flag-hopping, it is vital that maritime intelligence is founded on accurate, trustworthy data.

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