Malaysia Retains One China Policy, Committed to Preserving Trade Relations with Taiwan – PM

KUALA LUMPUR: Malaysia will continue to uphold the One China Policy that has been the country’s official stance since 1974, even though this stance may cause displeasure among certain parties in Taiwan, said Datuk Seri Anwar Ibrahim.

The Prime Minister said Malaysia, as an independent and sovereign country, will not sacrifice its foreign policy principles for trade interests, but will take appropriate measures to ensure economic and investment relations with Taiwan continue to be preserved.

Citing Malaysia’s stance on the Palestine and Gaza issue, he said the country’s firmness in criticising Israel’s actions was also disliked by several countries, including the United States (US).

However, he said this did not prevent Malaysia from continuing to forge trade relations and receive investment from the US, which is among the country’s main trading partners and sources of investment.

“Likewise with several other policies, for example Myanmar. Although our relations began to improve to enable the refugees to be repatriated, our stance on whatever is done to the community, including in Rakhine, has not changed. Likewise now on the One China Policy. We safeguard relations so that investment is not affected, and I answered earlier that there are no signs yet of impact (on investment). These are ordinary political statements, which is why we chose not to respond,” he said.

He was answering supplementary questions from Datuk Mohd Suhaimi Abdullah (PN-Langkawi) and Datuk Muhammad Bakhtiar Wan Chik (PH-Balik Pulau) on the impact of Malaysia’s firm stance on Taiwan on trade relations, investment and foreign investor confidence at the Minister’s Question Time in the Dewan Rakyat today.

Anwar said that as of September this year, Malaysia’s exports to Taiwan recorded an increase of 88 percent, among the highest growth rates within a year, driven by the country’s focus on the electrical and electronics (E&E) sector, semiconductors and artificial intelligence (AI)-related technology.

In addition, he said a report by the Ministry of Investment, Trade and Industry (MITI) also did not show any signs of Taiwanese investors withdrawing or blocking new investments in Malaysia following his statement on Taiwan.

“So for now, we will take whatever measures are necessary to ensure trade and investment relations with Taiwan remain good without sacrificing our principles on the freedom and independence of the country, a stance we have emphasised since 1974,” he said.

Answering a supplementary question from Datuk Hamzah Zainudin (PN-Larut) on a new approach to ease tensions with Taiwan following his statement on the military issue, which was feared to affect the stock market and investment, the Prime Minister stressed that Malaysia has never stated support for any Chinese military action against Taiwan.

On the contrary, he said Malaysia’s stance is to support the One China Policy and a peaceful resolution through peaceful efforts.

“It is not that I said I agree that China should attack Taiwan. I said we support the One China Policy. Second, we said we believe that a good resolution needs to be achieved through peaceful efforts,” he said.

Anwar also explained that Malaysia’s relations with Taiwan continue through a working committee to coordinate trade, investment and economic issues, not through negotiations between two countries.

He said the use of the term is important because Malaysia does not have official diplomatic relations with Taiwan, and the committee mechanism has been implemented since 1974.

BERNAMA