Growing pressure for nation to balance economic interests with Beijing against security and diplomatic engagement with the West: Expert
SHAH ALAM: China’s growing footprint in the Middle East is set to test Malaysia’s foreign policy, energy security and long-held stance of strategic neutrality as the intensifying rivalry between global powers increasingly reverberates across Southeast Asia.
Geopolitical analyst Nasaie Ismail told a recent talk that developments in the Middle East cannot be viewed in isolation, as they directly influence trade routes, energy flows and geopolitical stability – pillars that underpin the Malaysian economy.
Speaking at a session titled “The Dragon’s New Silk Road: Decoding the Geopolitical and Economic Synergy of the China-Arab Axis” organised by Universiti Teknologi Mara’s Master of Mass Communication students, Ismail said China’s engagement in the Middle East aligns closely with Malaysia’s long-standing diplomatic principles.
“China’s emphasis on non-interference, economic cooperation and long-term stability mirrors Malaysia’s own approach as a non-aligned, trade-dependent country,” he said.
According to Ismail, China presents itself as a development partner through narratives such as “win-win cooperation” and “South-South solidarity”, an approach that appeals to many developing countries and resonates with Malaysia’s foreign policy outlook.
“A key reason this matters to Malaysia is predictability. China avoids linking cooperation to domestic political conditions, unlike Western powers that often attach governance or human rights requirements,” he said.
Ismail added that this approach reflects Malaysia’s preference for strategic neutrality, enabling Putrajaya to maintain relations with multiple major powers without formal alignment.
From Malaysia’s perspective, stability in the Middle East is critical to national energy security.
“Between 70 and 75% of China’s imported oil and gas comes from the Middle East and passes through strategic waterways such as the Strait of Malacca and the South China Sea – routes that are equally vital to Malaysia’s trade and energy supply.
“Any disruption along these corridors would have direct consequences for Malaysia, given our reliance on maritime trade and energy imports,” he said.
Ismail also said Middle East’s role in China’s Belt and Road Initiative carries knock-on effects for Malaysia, as disruptions could impact regional supply chains, infrastructure connectivity and investment flows across Southeast Asia.
On bilateral relations, he pointed out that despite domestic debate over Malaysia’s engagement with Beijing, China remains Malaysia’s largest trading partner, as it is for more than 150 countries worldwide.
“Malaysia exports palm oil, rubber and energy products to China, while Chinese capital, technology and infrastructure capabilities continue to feature in Malaysia’s development projects,” he said.
As the US-China rivalry intensifies, Ismail warned that Malaysia faces growing pressure to balance economic interests with China against security ties and diplomatic engagement with Western powers.
He added that strong public sentiment on international conflicts in Malaysia often translates into domestic political pressure, further complicating the government’s efforts to maintain strategic neutrality in an increasingly polarised global environment.
