Malaysian Prime Minister Anwar Ibrahim has reiterated Malaysia’s adherence to the One China policy by acknowledging Taiwan as part of China, a stance that aligns with Beijing’s viewpoint but has drawn criticism from Taipei. Anwar emphasized that Malaysia remains committed to supporting a peaceful resolution to the tensions across the Taiwan Strait. Malaysia’s One China policy has been in place since 1974 when it established diplomatic relations with Beijing. This policy recognizes the People’s Republic of China as the sole legitimate government of China and acknowledges Beijing’s claim over Taiwan, while maintaining the importance of peace and stability in the region.
Beijing has expressed approval of Anwar’s recent statements, which resonate with its position on Taiwan. Conversely, Taiwan has rejected these remarks, asserting its independence from China and cautioning that such statements could exacerbate concerns over military tensions in the region. Although Malaysia does not have formal diplomatic ties with Taiwan, the two continue to engage in significant economic, cultural, and technological exchanges through representative offices.
The Malaysian Prime Minister’s comments may influence Malaysia’s relationship with Taiwan, particularly affecting the sentiments of Taiwanese businesses and investors who are wary of geopolitical risks. Nonetheless, Malaysia is expected to continue balancing its robust relationship with China alongside its established economic engagements with Taiwan.
Trade relations between Malaysia and Taiwan have proven substantial, with bilateral trade reaching $54.49 billion in 2025, positioning Taiwan as one of Malaysia’s key trading partners. Despite the absence of formal diplomatic recognition, both countries have vested economic interests that are likely to sustain their cooperation.