On April 17, Chinese President Xi Jinping concluded a state visit to Malaysia. The visit featured meetings with Malaysian King Sultan Ibrahim Sultan Iskandar and Prime Minister Anwar Ibrahim.
This visit represents a significant step in strengthening comprehensive cooperation between China and Malaysia, as both sides have agreed to collaborate in building a high-level strategic China-Malaysia community with a shared future.
"The Chinese President's visit to Malaysia reflects the importance both countries place on their bilateral relations," said Koh King Kee, President of the Centre for New Inclusive Asia. He emphasized that the visit continues the practical cooperation established over 50 years of friendship between China and Malaysia, particularly noting that the Malaysian Prime Minister has visited China three times in the two years since his election.
Malaysia and China stand to enhance trade ties under RCEP and CAFTA
Amid the ongoing global trade disruption caused by Trump's tariffs, Malaysia has made it clear that it values regional economic integration, firmly supports the Belt and Road Initiative, and is ready to strengthen trade and investment cooperation with China. The country aims to jointly stabilize industrial and supply chains, enhance connectivity, and boost people-to-people and educational exchanges.
"The U.S. is effectively declaring a terrible trade war on the whole world, and ASEAN countries like Malaysia cannot escape its impact," Koh stated regarding the ramifications of Trump's tariff policies.
However, he believes such pressures are driving regional players toward closer collaboration. "By doing so, Malaysia and China will work more closely, as evidenced by frameworks like the Regional Comprehensive Economic Partnership (RCEP) and the China-ASEAN Free Trade Agreement (CAFTA). This will indirectly encourage more trade between ASEAN and China."
In 2024, China-Malaysia trade reached 212 billion U.S. dollars, nearly 1,000 times the level at the inception of diplomatic relations. China has been Malaysia's largest trading partner for 16 consecutive years, he added.
Bilateral cooperation between China and ASEAN is stronger than ever. In 2024, China-ASEAN trade exceeded 980 billion dollars, making the two sides each other's largest trading partner for five consecutive years.
According to China's General Administration of Customs, ASEAN remained China's largest trading partner in the first two months of 2025. During this period, trade between China and ASEAN countries totaled 1.03 trillion yuan, accounting for 15.8 percent of China's overall trade value.
Koh emphasized the potential for increased trade among Global South countries, particularly within ASEAN, as nations seek resilient alternatives to Western-centric supply chains, with China playing a crucial role. "China is a manufacturing powerhouse with a complete, efficient industrial chain," he explained.
Growth prospects for ASEAN under the Belt and Road Initiative
With a joint statement signed at the end of the visit, China and Malaysia reaffirmed their commitment to enhancing economic cooperation under the Belt and Road Initiative and developing future industries such as artificial intelligence, the digital economy, and the green economy.
Additionally, bilateral initiatives like the "Two Countries, Twin Parks" program, which links industrial zones in Qinzhou and Kuantan, have emerged as a model for regional collaboration. This partnership has spurred the expansion of port cooperation and infrastructure connectivity.
A notable example is the East Coast Rail Link, a 665 km railway currently under construction. Once completed, it will connect Malaysia's less-developed east coast with its economic powerhouse on the west coast, enhancing connectivity and promoting balanced growth.
Koh also highlighted the transformative role of infrastructure connectivity in commerce, particularly with the newly operational China-Laos Railway. "China has repeatedly emphasized the need to promote trade in high-value agricultural products," he noted.
He believes that popular durian exports, along with other tropical fruits like mangoes and rambutans, can tap into China's vast consumer market. The railway significantly aids in transporting these perishable goods from Malaysia to China.
Closer people-to-people ties with broader mutual visa exemption
During the visit, China and Malaysia signed an agreement to extend their mutual visa exemption, allowing 30-day visa-free stays for each other's nationals holding both ordinary public (service) and private passports.
In 2024, nearly 6 million mutual visits occurred between the two countries. Many Chinese tourists were inspired to visit Malaysia for leisure and sightseeing, while an increasing number of Malaysian tourists traveled to China to appreciate its historical legacy and experience its contemporary culture.
"People are the foundation of the relationship between our two countries. With the visa waiver now in place, travel between Malaysia and China has become seamless, fostering deeper mutual understanding," Koh stated.
He emphasized the growing educational exchange as a key aspect of China-Malaysia friendship. Currently, approximately 60,000 Chinese students are pursuing studies in Malaysia, while around 10,000 Malaysian students are enrolled in Chinese institutions. "I believe these young people will be the ambassadors of our future," he added.
Reporter: Guo Zedong
Video: Guo Hongda
Poster: Lai Meiya
Editor: Yuan Zixiang, James, Shen He
