MALAYSIA has asked Taiwan to resume informal economic discussions as it seeks to protect bilateral trade and investment ties while maintaining its longstanding One China policy, Prime Minister Datuk Seri Anwar Ibrahim said.
He said the Foreign Ministry and the Ministry of Investment, Trade and Industry (MITI) had conveyed Malaysia's request for discussions under the Economic Cooperation Committee to resume following the postponement of a previous meeting.
Anwar stressed that the engagement did not constitute formal negotiations with Taiwan, noting that bilateral economic cooperation was conducted through several existing mechanisms, including the Economic Cooperation Committee, Trade Working Committee and Investment Working Committee.
“The meeting was postponed at the time, and we have now referred the matter back to them, requesting that the meeting be resumed,” he told the Dewan Rakyat during Prime Minister's Question Time today.
“There are no negotiations as such. There are, however, a Trade Working Committee and an Investment Working Committee,” he added.
Addressing concerns that his remarks on Taiwan had strained bilateral relations, Anwar said there had been no disruption to trade, investment or business operations involving Taiwanese companies in Malaysia.
He said there were no indications of Taiwanese investors withdrawing from Malaysia as of Wednesday (Nov 11), adding that discussions on new investments were continuing.
“Taiwan is an important trading partner. Our economic cooperation, trade and investment relations are good, and we want to maintain these positive economic and trade ties,” he said.
However, he maintained that Malaysia could not compromise its diplomatic position on China.
“However, we cannot contravene the One China Policy. Our recognition is of one China, with its government based in Beijing,” he said.
Anwar said Malaysia's position had remained consistent since 1974 and that the country did not maintain an embassy in Taiwan, but only a trade office.
He was responding to Datuk Mohd Suhaimi Abdullah (PN-Langkawi), who asked whether the government could confirm reports that Taiwan had suspended investment negotiations with Malaysia following his remarks describing the island as part of China.
The controversy followed an interview with international broadcaster Al Jazeera in August, during which Anwar said Malaysia regarded Taiwan as part of China and compared Beijing's possible use of force against the island to Malaysia preventing a state from seceding.
Taiwan's foreign minister subsequently reportedly confirmed that the island had suspended bilateral investment negotiations with Malaysia.
Anwar said Malaysia continued to welcome Taiwanese investments, particularly in strategic industries such as semiconductors, artificial intelligence and chip manufacturing.
“We welcome investments from Taiwan and are facilitating the investment process, particularly in sectors such as semiconductors, artificial intelligence (AI) and chips, where Taiwanese investments are important,” he said.
He also cited a Taiwanese investment project in Kedah worth close to RM1 billion, saying there had been no problems with Taiwanese investments or business operations.
Trade figures showed that Malaysia's exports to Taiwan increased 88 per cent year-on-year to RM116.58 billion in the first nine months of 2026, while imports rose 24.2 per cent to RM137.67 billion.
Taiwan was Malaysia's fourth-largest trading partner in 2025, with bilateral merchandise trade totalling RM233.02 billion, according to MITI.
Anwar said Malaysia would continue strengthening economic cooperation with Taiwan without departing from its established diplomatic position. - November 12, 2026
