KUCHING: Chinese President Xi Jinping’s recent visit has reinforced China-Malaysia economic ties, offering Malaysia fresh prospects in trade, investment and regional stability amid ongoing US-China tensions.
UNIMAS Deputy Dean, Dr Mohd Khairul Hisyam Hassan, said the visit opened new doors for Malaysia to boost exports – especially palm oil – and attract more Chinese investments.
“Despite a persistent trade deficit, China remains Malaysia’s top trading partner.
“The visit only deepens that relationship,” he said, noting employment gains from incoming Chinese firms.
On US-Malaysia ties, Khairul said tariff negotiations are ongoing with local manufacturers, especially in electronics, warning of disruptions to output and income.
“If unresolved, we’ll need to diversify exports to offset the impact,” he added.
He welcomed the recent signing of cooperation deals with China in infrastructure, AI and green tech, saying they could stimulate the domestic economy and stock market.
“These agreements bring long-term value.
“Improved infrastructure attracts more investment and keeps the economy resilient during slowdowns,” he said, pointing to alignment with the 13th Malaysia Plan.
As ASEAN Chair in 2025, Malaysia is also well-positioned to drive deeper regional integration and collective responses to global trade headwinds.
“Trade within ASEAN offers tariff-free advantages. Malaysia can unify the bloc’s stance in negotiations with the US,” he said.
While slight trade dips with the US or China are possible, Khairul expects minimal fallout, especially for essential goods.
“ASEAN remains a major opportunity, particularly in sectors where Malaysia has production advantages,” he said.
