Malaysian Prime Minister Anwar Ibrahim recently emphasized Kuala Lumpur’s adherence to the longstanding One China policy by stating that he views Taiwan as part of China. This stance has been met with approval from Beijing and criticism from Taipei. Despite this, Anwar has reiterated Malaysia’s commitment to supporting a peaceful resolution to the ongoing cross-strait tensions.
The roots of Malaysia’s One China policy stretch back to 1974, when the country formally established diplomatic ties with Beijing. This policy involves recognizing the People’s Republic of China as the only legitimate government of China while acknowledging Beijing’s stance on Taiwan. At the same time, Malaysia maintains that peace and stability in the Taiwan Strait are crucial.
Beijing has expressed support for Anwar’s remarks, viewing them as aligned with its position on Taiwan. On the other hand, Taiwan has rejected Anwar’s comments, asserting its independence from China and cautioning that such statements could exacerbate existing worries about military tensions.
Although Malaysia does not maintain official diplomatic ties with Taiwan, both nations have cultivated strong economic, cultural, and technological connections through representative offices. Anwar’s recent comments may cast a shadow over Malaysia’s relations with Taiwan, especially concerning Taiwanese businesses and investors who may be wary of geopolitical risks. Nevertheless, Malaysia is likely to continue balancing its robust relationship with China with its ongoing economic engagement with Taiwan.
In 2025, trade between Malaysia and Taiwan amounted to US$54.49 billion, underscoring Taiwan’s status as one of Malaysia’s key trading partners. Despite the diplomatic disagreements, both nations share significant economic interests that could encourage them to maintain cooperative ties.