Malaysia

What China pivot? Anwar’s ‘flair’ in Beijing also useful with West: analysts

Despite geopolitical tensions, Malaysia secures high investments while staying neutral

Updated 3 years ago · Published on 09 Apr 2023 8:00AM

What China pivot? Anwar’s ‘flair’ in Beijing also useful with West: analysts
With China being one of Malaysia’s biggest trading partners, Karl Lee says the visit there by Prime Minister Datuk Seri Anwar Ibrahim (left) – pictured here with Chinese President Xi Jinping – can be viewed as a diplomatic gesture to the country which has largely contributed to Malaysia’s economic development. – Prime Minister’s Office pic, April 9, 2023

by Adam Ayzzat

KUALA LUMPUR – Prime Minister Datuk Seri Anwar Ibrahim’s recent four-day visit to China has proven fruitful, with billions in investments secured and ties with Beijing enhanced while ensuring neutrality amid rising geopolitical tensions, analysts said.

Universiti Malaya (UM) senior lecturer Karl Lee said although media coverage from both countries seemingly portrayed Malaysia’s pivot from the West towards China, observers should look at the broader international context.

“The inclination to support one power over another comes with serious repercussions, especially when the present international order is facing relevancy and the new – or adjusted – one has yet to be established,” the Institute of China Studies lecturer told The Vibes.

Any country, including Malaysia, will deem it wise to adopt a wait-and-see attitude until there are developments suggestive of a new international order coming to fruition.”

Lee added that Anwar’s flair for engaging his foreign counterparts, as evident with Chinese leaders, may still be used when he holds official visits to Western countries. 

With China being one of Malaysia’s biggest trading partners, Lee said Anwar’s visit can be viewed as a diplomatic gesture to the country which has largely contributed to Malaysia’s economic development.

In light of the friction between Western nations, Moscow and Beijing, Lee advised Malaysia against supporting any side.

“Smaller countries like Malaysia ought to have their own plan to navigate both worlds, or else they will risk becoming collateral damage for siding with either one of the two camps,” he said.

“Since Anwar has built certain trust with leaders in Beijing, he needs to build a similar level of trust with Washington, or any other Western powers, as part of Malaysia’s neutrality and long-standing non-aligned stance.

Moreover, the incoming investments from Google, Microsoft, Amazon, and even Tesla, show that Malaysia is massively benefiting from American investments as well,” he added.

Hidden traps behind RM170 bil pledge?

Lee refuted possible concerns that Malaysia could be tied down or indebted to China following an RM170 billion investment pledge, as Putrajaya has its own approach to cooperating with Beijing.

However, he said ensuring the pledge’s execution will require cross-ministerial cooperation.

“The RM170 billion pledge demonstrates that Chinese investors are very much interested to invest in Malaysia, and even looking into the country as the regional hub for their investments,” he said.

“That said, all of the investment pledges remain to be memoranda of understanding, which need execution on the ground to realise these agreements.”

He also said stakeholders involved in the investments are Malaysian and Chinese private companies that do not utilise government funds.

He cited Putrajaya’s interest in reviving the Kuala Lumpur-Singapore High-Speed Rail project through a private initiative, and this has piqued China’s interest.

Prof Roy Anthony Rogers Peter Rogers (centre) notes that Malaysia remains firm on protecting its sovereign interests although its foreign policy is not aligned with any particular superpower. – Universiti Malaya Facebook pic, April 9, 2023
Prof Roy Anthony Rogers Peter Rogers (centre) notes that Malaysia remains firm on protecting its sovereign interests although its foreign policy is not aligned with any particular superpower. – Universiti Malaya Facebook pic, April 9, 2023

South China Sea dispute

Similarly, UM’s Prof Roy Anthony Rogers Peter Rogers noted that Malaysia remains firm on protecting its sovereign interests although its foreign policy is not aligned with any particular superpower.

Regardless, Rogers said Putrajaya will continue to leverage on both China and the United States.

Touching on the South China Sea territorial dispute, Rogers said Malaysia has a clear and consistent stand.

“(Anwar) was diplomatic but firm in his stand when he mentioned that Petronas will continue its activities in the South China Sea, as it is within Malaysia’s Exclusive Economic Zone,” he told The Vibes.

“But, if China has issues (with the matter), then both countries should negotiate.”  

The Asia-Europe Institute deputy executive director added that Anwar’s relationship with China has been cordial in the past, and believed Beijing looks forward to working with the newly minted prime minister.

He added the two nations’ bilateral relationship continues to be strong, despite certain challenges, seeing Malaysia’s initiative to recognise China as a partner for 49 years.

Nonetheless, he stressed that the “special relations” should be preserved, and not taken for granted.

Oh Ei Sun (pic) says that Datuk Seri Anwar Ibrahim – who is known to be a democratic icon – managed to avoid a political impasse with China’s autocratic government during the visit, as both nations focused on economic matters and set aside ideological differences. – Screen grab pic, April 9, 2023
Oh Ei Sun (pic) says that Datuk Seri Anwar Ibrahim – who is known to be a democratic icon – managed to avoid a political impasse with China’s autocratic government during the visit, as both nations focused on economic matters and set aside ideological differences. – Screen grab pic, April 9, 2023

Avoiding political impasse

Meanwhile, Singapore Institute of International Affairs senior fellow Oh Ei Sun said Anwar’s trip was necessary, given Malaysia’s need for foreign capital injection.

Oh added that Anwar – who is known to be a democratic icon – managed to avoid a political impasse with China’s autocratic government during the visit, as both nations focused on economic matters and set aside ideological differences.

Asked whether the same sentiment could be reflected in Anwar’s previous trip to the Philippines when he met President Ferdinand “Bongbong” Marcos Jr, Oh quipped that one “doesn’t even have to look overseas”, as there are already members of Anwar’s government facing corruption charges.

The Marcos family had built a reputation for accumulating tremendous wealth and assets through widespread graft during Ferdinand Marcos Sr’s presidency, which runs contrary to Anwar’s anti-corruption advocacy.

Oh also said that like other major powers, China respects Anwar as a leader of high calibre, which he believed is why the nation “laid it on thick” to welcome him. – The Vibes, April 9, 2023

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