There are several daily ferry service from northeastern Kalimantan to the town's sea port, linking the town to Sungai Nyamuk, Nunukan and Tarakan. This route has been used for smuggling subsidised goods from the town to certain parts in Indonesia, especially southern Sebatik, by Indonesian smugglers as this area is highly dependent on Tawau. Many Indonesians near the international border choose to seek medical treatment in the town due to the lower cost and better facilities, compared to other Indonesian towns.