Malaysia

Malaysia - France seal ‘historic’ Airbus deal amid growing bilateral ties

President Macron hails enhanced cooperation as Anwar’s visit strengthens trade and strategic collaboration across aviation, minerals, and energy

Updated 1 year ago · Published on 05 Jul 2025 8:57AM

Malaysia - France seal ‘historic’ Airbus deal amid growing bilateral ties
Malaysia’s bilateral relationship with France continues to expand across key sectors, including energy, defence, and high-value manufacturing - July 5, 2025

FRENCH President Emmanuel Macron has announced what he described as a “historic” deal between Airbus and Malaysia Airlines, during a joint statement with Malaysian Prime Minister Datuk Seri Anwar Ibrahim at the Élysée Palace, marking a significant milestone in Franco-Malaysian relations.

“I am thinking of the projects signed in the key minerals sector, in the rare earths sector with the company Carester which has just opened up a factory in the region of Lacq, the transport sector with this historic co-operation between Malaysia Airlines and Airbus, and in the energy transition sector,” Reuters reported Macron saying.

The announcement came as Anwar wrapped up a successful two-day official visit to France, during which both nations reinforced ties in trade, investment, education and technology. Macron noted that this was the first high-level Malaysian visit to Paris in 15 years and hailed it as “meaningful.”

“This visit has been a success. We also listened to your speech at the university and that was a very important moment,” Macron said, referring to Anwar’s lecture at Sorbonne University titled ‘Southeast Asia and Europe: Recalibrating The Terms of Engagement’, where the Malaysian premier called for equitable partnerships between both regions.

Anwar confirmed growing aviation ties, stating, “Airbus has been our focus. Malaysian Airlines 20, and AirAsia another 50,” referring to recent orders placed by both carriers.

AirAsia has also signed an agreement to acquire Airbus A321XLR long-haul aircraft worth US$12.25 billion (RM51.72 billion), with deliveries set for 2028.

He also highlighted Sarawak’s ambitions to enhance its own airline operations through French cooperation.

Malaysia’s bilateral relationship with France continues to expand across key sectors, including energy, defence, and high-value manufacturing. Petronas, the country’s national oil company, is currently involved in joint ventures with French partners in Latin America and Africa.

During the visit, Anwar witnessed a memorandum of understanding (MoU) exchange between Malaysia’s 3P Capital Advisers and French private equity firm Ardian, aimed at exploring opportunities in private markets. “This initiative can broaden Malaysian public access to alternative investments,” Anwar said.

Meetings were also held with French industrial leaders such as Imerys and Arkema. Imerys, which has operated in Malaysia for over 25 years, expressed its intent to expand operations and support high-value, eco-friendly manufacturing. Arkema, a global leader in specialty chemicals, is currently evaluating new investment prospects in Malaysia.

Macron reaffirmed France’s growing engagement with Southeast Asia, citing his visits to Indonesia, Vietnam and Singapore earlier this year. “In Southeast Asia, I reaffirmed our support for the regional electricity grid, including our support for civilian nuclear energy,” he said.

Anwar, who was accompanied by several senior Malaysian ministers, invited Macron to reciprocate the visit, suggesting the French President could travel to Malaysia after attending the 20th Francophonie Summit in Cambodia next year.

France remains one of Malaysia’s top five trading partners within the European Union. In 2024, bilateral trade reached RM15.95 billion (US$3.63 billion), with RM6.26 billion (US$1.49 billion) recorded between January and May alone.

Following his visit to France, Anwar is expected to attend the BRICS Leaders’ Summit in Brazil from 5 to 7 July. - July 5, 2025

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