Prime Minister Anwar Ibrahim of Malaysia has brought renewed focus to the country’s One China policy by affirming that he views Taiwan as part of China. This statement has garnered approval from Beijing and criticism from Taipei, even as Anwar emphasized Malaysia’s commitment to a peaceful resolution regarding tensions across the Taiwan Strait.
Malaysia’s adherence to the One China policy has been a cornerstone of its foreign relations since 1974, when it first established diplomatic ties with Beijing. The policy recognizes the People’s Republic of China as the sole legal government of China and acknowledges China’s stance on Taiwan. Despite this, Malaysia maintains that maintaining peace and stability across the Taiwan Strait remains a priority.
Beijing expressed satisfaction with Anwar’s statement, noting that it aligns with its own position on Taiwan. Contrarily, Taiwan rejected the Malaysian Prime Minister’s comments, asserting its status as an independent entity and cautioning that such endorsements of China’s position might exacerbate fears of military pressure.
While Malaysia does not formally recognize Taiwan diplomatically, the two continue to maintain substantial economic, cultural, and technological relations through representative offices. Anwar’s remarks could potentially strain Malaysia’s relationship with Taiwan, particularly affecting Taiwanese businesses and investors wary of geopolitical tensions. Nonetheless, Malaysia is expected to continue balancing its robust relationship with China alongside its economic engagements with Taiwan.
In 2025, trade between Malaysia and Taiwan reached a significant US$54.49 billion, with Taiwan ranking among Malaysia’s major trading partners. Despite ongoing diplomatic differences, the substantial economic interests between the two sides serve as a strong incentive for continued cooperation.
