India, Malaysia Pledge to Boost Trade, Deepen Cooperation in Semiconductors and Defence

Indian Prime Minister Narendra Modi and Malaysian Prime Minister Anwar Ibrahim have reaffirmed their commitment to expanding bilateral trade and strengthening cooperation in key sectors including semiconductors, defence, investment, and food security.
The commitment came during a bilateral meeting between the two leaders in Putrajaya, Malaysia’s administrative capital, on Sunday, according to Reuters. This marked Modi’s first official visit to Malaysia since the two countries elevated their relationship to a Comprehensive Strategic Partnership in August 2024.
Speaking at a joint press conference after the talks, Prime Minister Anwar said the partnership offers significant opportunities for deeper collaboration in trade, investment, defence, healthcare, tourism, and food security.
“This is truly a comprehensive partnership. We believe that with the commitment of both governments, we can move swiftly to implement the decisions taken,” Anwar said.
In the presence of the two leaders, 11 cooperation agreements were exchanged, including key accords on semiconductor industry collaboration, disaster management, and peacekeeping operations.
The leaders also agreed to continue efforts to facilitate cross-border trade by promoting the use of local currencies. Bilateral trade between India and Malaysia stood at $18.6 billion last year, a figure that Anwar said is expected to be surpassed in the current year.
Additionally, Malaysia announced its support for opening an Indian consulate in Sabah, located on the Malaysian island of Borneo, aimed at enhancing diplomatic and economic engagement.