Strengthening Malaysia-China Ties: A 50-Year Partnership
A Growing Economic Relationship
KUALA LUMPUR: Malaysia-China economic ties have continued to strengthen, with bilateral trade reaching nearly US$98 billion in the 11 months of 2024, matching the total trade volume for all of 2023. Minister of Investment, Trade and Industry Tengku Datuk Seri Zafrul Abdul Aziz said the 6.9 per cent year-on-year growth presents opportunities for further advancement in the years to come.
A Long History of Positive Interaction
In his speech at the Malaysia-China Summit 2024 reception dinner, Tengku Zafrul said that the foundation for the Malaysia-China 50-year partnership was laid many centuries ago, well before 1974. "In 1971, reciprocal trade missions between Malaysia and China led to, among others, the export of 40,000 tonnes of Malaysian rubber for the Chinese market. In that same year, the total bilateral trade for Malaysia-China was a mere US$27.8 million. We established diplomatic relations with China three years later," he said.
Investment and Job Creation
Investment-wise, from 1980 to June 2024, a total of 531 manufacturing projects with participation from China have been implemented, with investments valued at almost RM80 billion, creating over 88,800 jobs.
Beyond Bilateral Ties
"I must also highlight that Malaysia’s regard of China as a valuable partner went beyond bilateral ties at multiple critical junctures," said Tengku Zafrul. "Since the Belt & Road Initiative (BRI) was officially launched in 2013, Malaysia has been one of its earliest and most supportive partners. During the China International Import Expo last month, both countries also exchanged additional documents for the BRI Cooperation Plan."
ASEAN-China Relations
The minister said after ASEAN was initiated in 1967, Malaysia gradually brought China into the regional fold in the early 1990s, which also saw the kickstart of the China-ASEAN Dialogue. "We then played an instrumental role in initiating the ASEAN Plus Three in 1997 and the East Asia Summit in 2005. One milestone moment in the ASEAN-China journey is the signing of the ASEAN-China Free Trade Area (ACFTA), ASEAN’s first free trade agreement (FTA) with external parties in 2002," said Tengku Zafrul.
A New Era of Cooperation
Tengku Zafrul emphasised that it is important for the China-ASEAN family to live in harmony in shaping their future roles in the new world order, particularly in an increasingly multi-polar world. He said as the Chair of ASEAN in 2025, Malaysia intends to play its role in forging a better future for ASEAN and beyond. "We stand ready to champion regional cooperation, enhance regional economic integration, as well as foster sustainable and inclusive growth. This is very much in line with our chosen theme: Inclusivity and Sustainability," Tengku Zafrul said.
Conclusion
In conclusion, the Malaysia-China economic ties have come a long way, with a rich history of positive interaction and cooperation. As the two nations look to the future, it is essential to build on this foundation and continue to foster a strong and sustainable partnership.
Frequently Asked Questions
Q: What is the current state of Malaysia-China economic ties?
A: Bilateral trade has reached nearly US$98 billion in the 11 months of 2024, matching the total trade volume for all of 2023.
Q: What is the foundation for the Malaysia-China 50-year partnership?
A: The foundation was laid many centuries ago, well before 1974.
Q: What is the significance of the Belt & Road Initiative (BRI) for Malaysia-China relations?
A: Malaysia has been one of the earliest and most supportive partners of the BRI, and has exchanged additional documents for the BRI Cooperation Plan with China.