In 2023, China and Malaysia have marked significant milestones in their longstanding relationship, reflecting a deepening partnership that extends beyond traditional diplomacy. Celebrations commemorated the 10th anniversary of the Belt and Road Initiative (BRI), with Malaysia being one of the earliest supporters. The monumental “Two Countries, Twin Parks” project stands as a testament to the enduring collaboration between the two nations under the BRI framework.
March 2023 saw Malaysian Prime Minister Datuk Seri Anwar Ibrahim visit China, where he and Chinese President Xi Jinping agreed to build a China-Malaysia community with a shared future. This consensus sets a blueprint for the advancement of bilateral relations as both countries approach the 50th anniversary of diplomatic ties. The commitment underscores a mutual aspiration for strengthened cooperation amidst evolving global dynamics.
Malaysia’s historical non-alignment policy has been pivotal in shaping its engagement with China. Fifty years ago, then Prime Minister Tun Abdul Razak Hussein initiated diplomatic relations with China, defying the conventions of the Cold War era. His visionary approach facilitated Malaysia’s role in bringing China closer to the Association of Southeast Asian Nations (ASEAN), leading to China becoming ASEAN’s first dialogue partner in 1991.
In 2021, the relationship between China and Malaysia was elevated to a Comprehensive Strategic Partnership. China’s neighborhood diplomacy, emphasizing amity, sincerity, mutual benefit, and inclusiveness, has fostered multilateral cooperation in Southeast Asia, with Malaysia being a key beneficiary. The BRI has propelled joint efforts, particularly in infrastructure development and economic collaboration.
As the BRI enters its second decade, there is a shift towards sustainable infrastructure and the digital economy. This transition aligns seamlessly with Malaysia’s national policies, such as Industry 4.0, the New Industrial Master Plan 2030, and the Digital Economy Blueprint. Emerging sectors like artificial intelligence, big data analytics, and robotics are poised to become new drivers of growth, offering vast opportunities for bilateral cooperation.
China has remained Malaysia’s top trading partner since 2009, and trade relations continue to strengthen. Notably, the proportion of electrical machinery and equipment in Malaysia’s exports to China increased from 33.3 percent in 2011 to 42.6 percent in 2022. In the first quarter of 2023, bilateral trade expanded by 3.3 percent year-on-year to over RM112 billion (approximately $24 billion), reflecting robust economic ties. The anticipated conclusion of the ASEAN-China Free Trade Area 3.0 further enhances the positive outlook for future trade and investment between the two countries.
The deepening relationship between China and Malaysia signifies a shared vision for prosperity and development. By focusing on emerging industries and embracing collaborative initiatives, both nations are positioned to navigate the complexities of the global economy and contribute to regional stability and growth.
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Relations between China and Malaysia go beyond the two countries
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