Former PM Mahathir Mohamed, a seasoned politician, recently shared his thoughts on Malaysia’s stance in the global arena. He emphasized the country’s neutrality and its desire to maintain good relations with both China and the US. Despite the ongoing trade tensions between the two superpowers, Mahathir believes that China has the technology and capacity to weather any economic slowdown. In an interview with the South China Morning Post, he expressed confidence in China’s ability to overcome challenges and continue its growth trajectory.
Malaysia found itself in the crossfire of the US-China trade war when President Donald Trump imposed a 24% tariff on the country. However, Malaysian Prime Minister Anwar Ibrahim has been working towards strengthening trade ties with China, acknowledging President Xi Jinping as a steady leader amidst global uncertainties. Anwar has also called for ASEAN unity in trade negotiations with the United States, as Malaysia holds the chairmanship of the regional body this year.
Mahathir emphasized Malaysia’s neutral stance, highlighting the country’s intention to trade with all nations without taking sides. Despite concerns about Malaysia’s trade surplus with the US, which puts it at risk, the country continues to position itself as a viable alternative to China for global trade. With the US being the second-largest destination for Malaysian exporters, the country is open to addressing trade deficits, non-tariff barriers, and exploring bilateral trade agreements to mitigate the impact of the trade war.
As Malaysia navigates through these challenging times, the government has delayed certain tax expansions to provide relief to manufacturers facing higher US tariffs. Factory owners have urged the authorities to refrain from imposing additional tax burdens in light of the escalating trade tensions. Malaysia’s Trade Ministry remains open to dialogue with the US to find mutually beneficial solutions and safeguard the country’s economic interests.
In conclusion, Malaysia’s commitment to neutrality and maintaining friendly relations with all nations, including China and the US, reflects its pragmatic approach to global politics. Despite external pressures and trade challenges, the country remains resilient and focused on sustaining its economic growth. As the world watches the dynamics between major powers unfold, Malaysia stands firm in its pursuit of stability and prosperity for its people.
