From 1962 to 1965 an annual race weekend for motorcycles and Formula Libre cars was held at the Thomson Road circuit in Singapore, named the Malaysia Grand Prix. After Singapore gained independence from Malaysia in 1965, the event was renamed the Singapore Grand Prix and continued until 1973.
Between Singapore's departure from the Malaysian federation and the opening of Sepang, Malaysia hosted various racing categories at Shah Alam's own circuit from 1968 to 1995, including Formula Libre (1968), Tasman Formula (1969–1972), Formula Atlantic (1973–1975), Formula Two (1977) and Formula Pacific (1978–1982).
As part of a series of major infrastructure projects in the 1990s under Mahathir Mohamad's government, the Sepang International Circuit was constructed between 1997 and 1999, close to Putrajaya, the then-newly founded administrative capital. The circuit is known for its unpredictable humid tropical weather, varying from clear furnace-hot days to tropical rainstorms.
The inaugural Grand Prix at Sepang in 1999 saw Michael Schumacher return to the sport after a broken leg sustained at that year's British Grand Prix. Ferrari dominated, with Schumacher handing victory to title-hopeful teammate Eddie Irvine, only for both Ferraris to be disqualified due to a technical irregularity before later being reinstated.
From 2001 the race moved from the end of the season to the beginning. The 2001 event was hit by a heavy rainstorm mid-race. Conditions were so bad that both Ferraris of Michael Schumacher and Rubens Barrichello spun off almost simultaneously at the same corner. Remarkably, both recovered to score a Ferrari 1–2, as they were nearly five seconds faster per lap than the rest of the field on the wet track. Jos Verstappen led the race at one stage but fell back to seventh as the track dried.
On 8 April 2007, shortly before that year's race, Formula One commercial rights holder Bernie Ecclestone described the circuit as "shabby" and "a bit tired," noting rubbish littered around the venue as damaging its reputation. The Malaysian government had met Ecclestone to discuss a contract extension beyond 2010; a renewed contract had been signed in 2006 for a further five years, and the government was still mulling an offer extending hosting to 2015 as of April 2007.
In February 2008, Sepang management announced an aim to become Formula One's second night race after Singapore, with circuit chairman Mokhzani Mahathir quoted on the possible purchase of a custom floodlighting system. The organisers ultimately settled for a late-afternoon start. The 2009 race started at 17:00 local time (09:00 UTC), which proved problematic: heavy rainfall and low light forced the race to be red-flagged after 33 laps, and regulations requiring 42 laps for full points meant both driver and constructor results were halved.
On 7 April 2017 it was announced that the 2017 race would be the final Malaysian Grand Prix. The contract was due to expire in 2018, and the event had come under threat from rising hosting fees and declining ticket sales. Youth and sports minister Khairy Jamaluddin stated on Twitter that the cost was too high for limited returns, and that Malaysia no longer held first-mover advantage as an Asian Formula One venue. The BBC reported that the event had struggled to attract significant crowds, its appeal damaged by the more glamorous Singapore night race on a street circuit.
In August 2025, Youth and Sports Minister Hannah Yeoh told the Dewan Rakyat there were no immediate plans to reinstate the race. Hosting fees payable to Formula One's commercial rights holder Liberty Media were estimated at around RM300 million per year, with multi-year contracts of three to five years implying a total commitment of RM900 million to RM1.5 billion (approximately USD215 million to USD355 million). Annual costs to maintain Sepang International Circuit to FIA Grade 1 standards were reported at roughly RM10 million per year.
Yeoh argued that the annual fee represented an opportunity cost that could instead fund athlete development and other sports programmes, and noted stiff regional competition from Singapore's ongoing presence and Thailand's approved plans to host a race. Ministers left the door open for private or corporate sponsors to underwrite hosting costs, and Sepang circuit representatives said a comeback would require coordinated funding and planning.
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