Recently, Malaysia’s Ministry of Foreign Affairs launched an internal probe following the leak of a classified diplomatic note sent by China, urging Malaysia to halt oil exploration activities in the South China Sea. The note, leaked by the Philippine Daily Inquirer, revealed China’s concerns over Malaysia’s drilling near the Luconia Shoals, an area claimed by both nations. While Malaysia asserts its rights under international law, including the United Nations Convention on the Law of the Sea (UNCLOS), China claims the area under its controversial nine-dash line. It is noteworthy to mention that the Luconia Shoals are approximately 1200 miles from China’s mainland and about 62 Miles from Malaysia.
The incident highlights the ongoing geopolitical tensions in the South China Sea, where several nations, including Malaysia, the Philippines, Vietnam, and Taiwan, challenge China’s territorial claims. While Malaysia has focused on investigating the breach and maintaining diplomatic engagement with China, it continues to actively participate in ASEAN-led efforts to establish a Code of Conduct for the region. The key question remains: Can Malaysia firmly reject China’s expansive territorial claims, and if so, is its military prepared for such a stance? To answer this, we must analyze the strength of Malaysia’s armed forces. Let’s get into the details of it.
Malaysia’s Military capability
When it comes to military strength, Malaysia often flies under the radar. Malaysia’s defense capabilities are criticized for being inferior to those of its Southeast Asian neighbors. Malaysia is considerably behind regional powers like Indonesia and Thailand, ranking 44th out of 145 countries in 2024, according to the Global Firepower Index. Malaysia’s defense budget for 2024 is $4.16 billion, which is relatively small compared to Singapore’s $15.4 billion and Indonesia’s $9 billion. Defense researcher Collin Koh observes, “Malaysia’s military is aging and modernization is slow.” Despite the fact that statistics can only convey part of the picture, Malaysia’s military has concentrated on specialized tasks that highlight its capabilities in other crucial domains, such as counterterrorism and maritime security.
Historical Context
Under British colonial authority, Malaysia’s military history began when the British established the Malayan Police Force for local security. Japan conquered Malaysia, then known as British Malaya, during World War II, bringing instability to the region. The Malayan Emergency Army was established in response to the communist insurgency that Malaysia experienced following the war.
Malaysia made great military advancements after gaining independence from Britain in 1957. Significant investments in cutting-edge machinery as well as the establishment of the Royal Malaysian Air Force and Navy occurred in the 1960s and 1970s. As a reflection of its role in both domestic and international security, Malaysia has mostly participated in peacekeeping operations and regional security initiatives.
Current Military Capabilities
Malaysia’s armed forces, comprising 51,600 reserve members and 113,000 active members, are now undergoing modernization, particularly focusing on upgrading military hardware. A notable procurement includes 800 M72 EC lightweight anti-tank weapons from Nammo, replacing outdated RPG-7 systems for use in special forces operations and challenging environments. With an expected 8.4% annual defense budget growth from 2024 to 2028, reaching nearly $6.2 billion, the country is addressing security concerns such as piracy and regional threats. Modernization efforts include acquiring FA-50 light attack planes, littoral mission ships, and UAVs, alongside bolstering missile defense and naval capabilities.
Regional Comparisons
When compared to regional counterparts, Malaysia’s military capabilities differ significantly from those of Indonesia and Singapore. Indonesia’s military, with over 400,000 active-duty troops (300,000 Army; 60,000 Navy, including about 20,000 marines; 30,000 Air Force) 376,000 active personnel and 100,000 reserves, is far larger than Malaysia’s. Indonesia’s defence budget is more than double than that of Malaysia, and its military equipment includes 266 main battle tanks, 36 attack helicopters, and a large naval fleet. Singapore’s arsenal includes cutting-edge systems like Leopard 2SG tanks, Formidable-class frigates, and F-15SG fighter jets.
Malaysia faces several strategic challenges, both internally and regionally, that shape its defense and security priorities. In the South China Sea, Malaysia contests China’s expansive territorial claims in a pragmatic manner, as Prime Minister Anwar Ibrahim’s government has taken a more diplomatic approach, prioritizing economic ties with China while managing tensions over incidents like Chinese coast guard incursions into Malaysia’s Exclusive Economic Zone.
Modernization Efforts: Recent Reforms
Under the current Malaysian administration, the defense budget has seen significant growth, rising from $3.7 billion in 2022 to $4 billion in 2023, with a planned increase to $4.16 billion in 2024. This funding supports various modernization initiatives aimed at bolstering Malaysia’s defense capabilities. Key acquisitions include Littoral Combat Ships (SGPV-LCS) for the Royal Malaysian Navy, though the program has faced delays, and ongoing negotiations with Turkey for Littoral Mission Ships (LMS). The Malaysian Air Force is set to receive 18 FA-50 light combat aircraft and 12 medium lift helicopters to modernize its aging fleet. The Malaysian Army is also exploring the acquisition of self-propelled howitzers, though this has been hindered by procurement challenges and government changes. Future plans involve a projected 8.4% annual growth in the defense budget from 2024 to 2028, aiming to reach $6.2 billion and support the procurement of advanced warships, missile systems, and other high-tech military assets.
Despite these advancements, Malaysia’s defense modernization faces several criticisms and limitations. Budgetary constraints, corruption, and inefficiency have significantly impacted the effectiveness of modernization efforts. While the 2024 defense budget allocation includes $1.2 billion for procurement, this amount is insufficient to cover ongoing programs and contractual commitments fully. Government turnover has contributed to inconsistent defense strategies and delayed projects, such as the acquisition of self-propelled howitzers.
Counter Arguments
Malaysia’s foreign and military policies have shown considerable promise and accomplishments in spite of criticism. The adherence of the Malaysian Armed Forces to international stability and security is exemplified by their noteworthy contributions to United Nations missions and their impressive performance in peacekeeping operations. Additionally, Malaysia’s advantageous position in Southeast Asia and its involvement in ASEAN demonstrate its efficacy in regional security and diplomacy. Despite financial constraints, the country’s efforts to modernize its military have led to the acquisition of cutting-edge gear and an improvement in operational readiness.
Furthermore, Malaysia continues to reap significant benefits from its non-aligned foreign policy, which has been the cornerstone of its international strategy. With this practical strategy, Malaysia may maintain its fundamental non-alignment beliefs while promoting a variety of foreign alliances and taking part in several multilateral platforms like BRICS. Malaysia’s foreign policy is centered on striking a balance with major nations while preserving its sovereignty and national interests, notwithstanding recent actions like applying to join the BRICS.
End Point
In the context of asserting its claims over its Exclusive Economic Zone (EEZ) against China, Malaysia’s military modernization efforts show both strengths and limitations. Recent acquisitions, such as FA-50 light attack planes and littoral combat ships, along with increased defense spending, signal the country’s intent to bolster its defense capabilities. However, budget constraints, inefficiencies in procurement, and corruption have slowed modernization. Despite these challenges, Malaysia has made strides in peacekeeping and diplomacy, relying on strategic non-alignment to navigate complex regional tensions. While the Malaysian Armed Forces face structural limitations, they continue to enhance their operational readiness. Though not yet at the level to fully challenge China’s military dominance, Malaysia’s growing capabilities and international partnerships provide a foundation for asserting its EEZ claims, demonstrating a calculated approach to balancing modernization with strategic objectives.
