Malaysias Relationship with the US

Malaysias Relationship with the USCase Study sift ambivalence infra MahathirDuring Mahathirs premiership (1981-2003), Malaysia enjoyed a cooperative descent with the US was on economic and security measure straw man. Politic participator, however, there has been much tension in the midst of the two states.On the economic front, the US has been sensation of Malaysias roughly important trading spouses. In Mahathirs final year as prime minister, the volume of two-way foxiness amounted to US$34,352.5 million1, with the balance of trade in Malaysias favour.Additionally, Malaysia has traditionally relied on US foreign investments, oddly during the former states rapid economic mobilisation from the seventies to the end of the 1990s. Malaysia, a former colonial state which inherited a dwindling, natural resource-dependent economy from the British, achieved unprecedented rate of growth under Mahathirs developmental plans. Malaysias economic development achieved its zenith in the 19 90s, hailed by the dry land Bank as an economic miracle in the developing world. During this course of development, the US played a pivotal role via its foreign investments. For in positioning, US investments in Malaysia tripled betwixt 1990 and 2000, from US$1.5 billion to US$6 billion, of which 57% was in manufacturing, 21% in petroleum and natural resources, and 22% in operate and related industries.2In terms of security, Malaysia under Mahathir has seen much cooperation with the US in depends of counter-terrorism. Malaysia had become a vital partner in combating terrorism payable to Malaysias attractorship role in the Association of S let outh vitamin E Asiatic Nations (Asean) at a prison term when the region was dubbed the second front in the war once to a greater extentst terrorism due to links between its regional militant groups and Al-Qaeda.3 Moreover, Malaysias status as a Muslim province was crucial as the US was looking for a Muslim ally in Southeast Asia. As M alaysia practices moderate Islam, The US hoped that it could be a good example for former(a)(a) Muslim nations to follow. As such, twain countries ruling that this security partnership could improve relations between the United States and other Islamic nations, and could greatly help with the Statess global strife against terrorism.Politically, however, Mahathirs premiership was marked with bilateral tensions between Malaysia and the US. In 1990, Mahathir proposed the creation of an easterly Asia scotch Grouping (EAEG), a regional trading bloc standardized to the European Union (EU) and North the Statesn Free Trade arrangement (NAFTA). In order for Mahathirs proposal to seem less of a trade bloc and to a greater extent of a forum for discussion, it was officially renamed by Asean as the East Asia Economic Caucus (EAEC) in 1991, at the Asean Economic Ministers Meeting, originally formally endorsing the EAEC in 1992 at its Fourth Asean teetotum in Singapore. 4 However, ten sions arose regarding the EAEC since membership was accorded only to East Asiatic countries, therefore excluding the United States and its semipolitical presence in the region.One of the biggest tensions between the two states arose during the 1997/98 Asian pecuniary crisis. Specifically, there were disagreements over the causes of the crisis. US policymakers blamed it on the Asian economies structural deficiencies, underdeveloped financial systems, strong links between brass and product line, opaque business dealings, corruption, and cronyism. Mahathir, on the other hand, blamed it on supranational factors, namely international bills speculators and hedge funds.5 There were also diverse persuasions on how to respond to the crisis Mahathir believed in currency and capital maneuvers to jumpstart the Malayan economy, whilst the US believed in reform proposals by the International Monetary stemma (IMF) and the World Bank, which proposed reforms through fiscal re fundts and the cutback of subsidies. Malaysia nevertheless instituted its currency and capital controls and while it did work for Malaysia, Mahathir was criticised by the US. 6zygomorphous relations were further tested in September 1998 when Mahathir dismissed Anwar Ibrahim, the deputy prime minister and finance minister, on charges of corruption and sexual wrongdoing. This was because, during the financial crisis and before the implementation of Mahathirs currency controls, Anwar (in his capacity as the finance minister at the time) went against Mahathir by proposing contractionary financial policies which closely resembled the proposals set by the IMF. In November 1998, these tensions were exacerbated following comments by because US Vice-President Al Gore at the Asia-Pacific Economic Cooperation (APEC) pertaining in Kuala Lumpur, praising the brave people of Malaysia for seeking reform.7 Relations would then pass up when Anwar was sentenced to six years in prison for corruption in Apri l 1999. US officials considered Anwar to be a political prisoner in this case as they considered the charges against Anwar to be trumped up. Unsurprisingly, when Anwar Ibrahim was sentenced in August 2000 to an additional nine years in jail for sodomy, a US State subdivision official express that the US was outraged by Anwars conviction and that the co-operative relationship with Malaysia has been hinder by Malaysias poor record on human rights.8As a result, an annual human rights report released by the State Department in February 2001, contained criticism of Malaysias handling of the Anwar case, citing political motivations and questioning the license of the judiciary. Criticism was also directed to Malaysias use of its Internal warranter Act (ISA), dubbed by the US as draconian, since it allowed for detention without trial. For instance, the Malaysian death chairial term had used the ISA in July 2000 after it had prevented an arms heist by a militant group, Al-Maunah, whic h had links to Al-Qaeda terrorists.Additionally, the 9/11 attacks on current Yorks World Trade Center and the USs ensuant War on Terror would further strain Malaysia-US relations. In display 2003, Mahathir vehemently condemned the US and the UKs decision to go to war against Iraq. Bilateral tensions also arose over Mahathirs anti-Jewish remarks at the summit of the Organization of Islamic crowd in Kuala Lumpur in October of the same year. Mahathir had said, The Europeans killed six million Jews out of twelve million, but today the Jews rule the world by proxy. They stand others to fight and die for them. The US State Department deemed these comments offensive and inflammatory, stating, We view them with the contempt and derision they deserve.9Moderation Under AbdullahUnder the premiership of Abdullah Ahmad Badawi (2004-2009), Malaysia-US relations proverb a continuation of cooperation on economic and security fronts.Within the economic sphere, bilateral ties remained crucial. In 2004, Malaysia was Americas tenth largest trading partner, with much than US$39 billion a year in bilateral trade10, whereas the US was Malaysias biggest single investor and the largest market for Malaysian exports.11 That same year, Malaysias GDP grew by 6.8% its highest rate in four years.12 Additionally, to deal with a budget deficit that spanned six years since 1998, Abdullah exercised fiscal restraint which include measures such as the postponement of costly projects.However, during Abdullahs primeval Ministership, the ringgit pinpoint of RM$3.8 to the US dollar was re dismissd in July 2005 seen as a move to make Malaysia more independent and self-reliant vis--vis the US. This measure of currency control had been in place for nearly seven years, as part of Mahathirs currency controls to stem capital flight and speculative attacks during the 1997/98 Asian pecuniary Crisis. The peg was removed after Malaysia became more concerned most the state of the US economy at the time and the instability of the US dollar. Moreover, it was also because the organisation felt assured enough to make the shift due to its own economic growth.Malaysias cooperation in the realms of security also continued under Abdullah. A marked difference under Abdullah was Malaysias enhanced international position, strengthening Malaysias role as a partner to the US. For instance, from October 2003 to March 2008, Malaysia served as Chair of the 57-member Organization of Islamic Conference (OIC), the largest federation of Muslim nations.13 This made Malaysia a key partner in the Muslim world at a time when the US was specially concerned about the terrorist threat in many Muslim states and wanted having a strong Muslim ally in the region.Abdullah held increased stature as a Muslim leader in his role as the OIC Chair leader and was able to express the OICs views on the Israel-Palestinian conflict. For instance, he stressed the need for peace brokers to be fair and unbiased to b oth sides and for Palestinians to present a united front by determination ways to end their internal divisions. In recognition of his enhanced position, Abdullah was featured on the cover of newlysweek magazines December 2004 and was hailed as a leader who forged a moderate brand of Islam and who was capable of mending the part instigated by radical Muslim movements in the region.14 Thus, Malaysias role as a security partner of the US was solidified over this period.Tensions on the political front, on the other hand, continued under Abdullah, albeit there was not as much hostility and confrontation as it was under Mahathir. Malaysian opposition to US policy included condemnation of Israel, a countrified that Malaysia does not share a diplomatic relationship with. When Israel invaded Lebanon in 2006, Abdullah and his exotic Minister urged the US to push for an immediate ceasefire while UMNO Youth held an anti-Israel protest. some other change under Abdullah Badawi was that he r emoved a predominant strain in Malaysia-US relations since 1998 the Anwar Ibrahim rationalize. After the ruling subject forward optical fusion won a landslide victory in the 2004 national elections, Abdullah positive of his position and not wanting to remain in Mahathirs dwarf was emboldened to go against his predecessors wishes about freeing Anwar. Hence, in September 2004, Malaysias highest court reversed Anwars convictions of sexual misconduct and freed him after nearly six years in jail. However, tensions on this matter resumed in June 2008. This time, there was criticism by the US over allegations that Anwar had sodomised one of his male aides. By then, Anwar was no pineer barred from entering political science and he had won re-election in a by-election in August 2008, allowing him to relent to Parliament as the opposition leader. The US government maintained their stance on the issue, believing that the sodomy charges were politically motivated peculiarly as the y appeared so soon after Anwars gains in the March 2008 widely distributed elections.With Anwars comeback in Malaysian politics coinciding with the National Fronts substantial losses in the March 2008 superior general elections, Abdullah faced mounted criticism from within his own party especially after the party lost its hold over five states and its two-thirds absolute majority in parliament. Abdullahs predecessor, Mahathir, was particularly critical as he had started finding fault with Abdullah long before the general elections. Hence, calls for Abdullah to step down escalated, from both within the National Front and from opposition parties. At first, Abdullah said that he would do so in 2010 but brought the date forward to early April 2009 after facing surmounting pressure from within his party.To summarise Malaysia-US relations under Mahathir, there has been a continuation, if not an increase, in cooperation on economic and security fronts. Although there were lingering pol itical issues between the two (such as the Anwar Ibrahim issue and conflicts in the Middle East) a marked change in the US-Malaysia relationship was Abdullahs different brand of leadership. While Mahathir was blunt, confrontational, and often anti-West in his rhetoric, Abdullah was in the first place calm and diplomatic allowing for a more amiable relationship. The US welcomed this change. As a secret US Embassy cable unveiled by Wikileaks, revealed select Minister Abdullah Badawi is a breath of fresh air after the long serving and ituperative Mahathir Mohamad, who retired in late 2003. The cable also added that Abdullah was publicly move to fighting corruption and reining in costly mega-projects, though his governments follow-through has been disappointing.15Pragmatism under NajibSince assuming the Prime Ministership in 2009, Najib Abdul Razaks policy has been implemented in a broader and more sensible way, with marked improvement in Malaysia-US relations within the spheres of economy, security, and politics.On the economic front, the Najib government has made efforts to increase bilateral trade and investment flows. During a week-long running(a) visit to tonic York in April 2010 for a Nuclear Security Summit hosted by Obama, Najib had his first ever meeting with the US prexy on the side-lines of the summit. He also held discussions with key officials of the administration in Washington, and met with American business leaders to promote his newly-launched New Economic Model (NEM).16Najib returned to the city on 17 May 2011 to attend the New York Invest Malaysia 2011 held at the New York Stock Exchange, before returning on 20 May 2012 to meet with business leaders of various Fortune 500 companies at the prestigious Harvard Club.17 This is largely a continuation of the amicable economic relationship between Malaysia and the US as the United States has consistently been an important economic partner for decades and has been Malaysias largest foreign dir ect investor. In 2011, even though America was experiencing slower growth, it remained Malaysias top foreign investor. 18 Hence, bilateral trade was robust, with gist trade between the two countries totalling to US$33.68 billion in 2009, before increasing to US$39.98 billion in 2010 and US$39.99 billion in 2011.19On the security dimension, the Najib administration has pursued a deepening of Malaysias military partnership with the United States. For instance, Malaysia upgraded its participation in the Cobra Gold eight-sided military exercises20 from an observer to a participant. Malaysias Defence Minister Zahid Hamidi commented in June 2010 As a participant of the exercise, Malaysia can obtain valuable be on defence strategy, technology, training and operating sophisticated equipment.21 In February 2011, Malaysia was touch on in the Cobra Gold as a participant for the first time in February 2011.However, the starkest changes in Malaysia-US relations fork out been political. Soon after assuming his post in 2009, Najib articulated his resolve to enhance Malaysia-U.S. relations. In June 2009, nigh two months after taking office, Najib took the opportunity to offer an olive section when he responded positively to Obamas speech in Cairo, where the new president discussed new beginnings between the US and Muslims all over the world. Recognising the U.S. leaders reference to Malaysia as among the progressive and developed Muslim nations, Najib praised the US presidents for reaching out to Muslims and offered to assist his administration in forge better ties with the Muslim world.22Additionally, a closing of these political ties has resulted in more regular visits by leaders and key officials of Malayia and the US. In September 2010, Najib and Obama met again at the second ASEAN-U.S. meeting during the United Nations General Assembly in New York. On 2 November of the same year, U.S. Secretary of State Hillary Clinton visited Malaysia for common chord days in an official visit a significant milepost as it marked the first visit by a U.S. repository of state to Malaysia since Warren Christopher in 1995. Clintons maiden trip was followed up by the visit of U.S. Secretary of Defence Robert Gates on 9th November 2010.23The frequence of high-level exchanges and meetings was maintained up by both sides the following year, witnessing a number of visits by senior US officials to Malaysia, including the tenderer of the U.S. Pacific Command Admiral Robert Willard in June 2011, and the Deputy Secretary of State William Burns in December 2011. At a roundtable in Kualal Lumpur organised by the Institute for Strategic and International Studies (ISIS), Burns defined Americas relationship with Malaysia as a vital part of U.S. strategy to interlock the Asia-Pacific, remarking For decades, this relationship did not realise its potential. We all too often appoint ourselves on different sides of geopolitical fault lines, and at times, in the past, have struggled to rise above mistrust. And yet today, this relationship has become one of Americas most promising in all of Southeast Asia.24In summary, it is evident that Malaysias policy towards America has undergone considerable changes since Najib assumed the Prime Ministership in 2009. Whereas Mahathir often adopted a rhetorically confrontational and politically controversial approach towards the US, Najibs policy is centred on increased cooperation and more pragmatism.1 The Statistical squeeze of the United States, 1990-2011 (Washington D.C. U.S. census Bureau)2 Sodhy, P. (2012).3 Gershman, J. (2002) Is Southeast Asia the Second Front? Foreign Affairs, 814.4 Sodhy, P. (1998) The East Asia Economic Caucus (EAEC) Controversy in ASEAN-US Relations, Western Pacific Journal, 4.5 Ping, L.P. Tham S. W. (2007) Malaysia Ten Years After the Asian Financial Crisis, Asian Survey, 476, University of California Press.6 Jayasankaran, S. (2002) Malaysia Turns Around, Far Eastern Economic Review. 7 Sodhy, P. (2012).8 Ibid9 Sipress, A. (2003) Malaysians Calls on Muslims to Resist Jewish Influence, The Washington Post, 17th October, A21.10 The Statistical Abstract of the United States, 1990-2011 (Washington D.C. U.S. Census Bureau).11 Sodhy, P. (2012).12 UN Data (2014)13 Sodhy,P.(2012)14 ibid15 http//www.malaysia-today.net/us-viewed-pak-lahs-reform-a-failure/16 Samad N. (2010), Najib set for talks with Obama, New forefront Times, 11th April 2010, p.12.17 http//www.1malaysia.com.my/en/speeches/new-york-invest-malaysia-2011/18 Damodaran, R. (2011) U.S. investment trend in Malaysia to remain strong, New Straits Times, 23rd August 2011, p. B4.19 The Statistical Abstract of the United States, 1990-2011 (Washington D.C. U.S. Census Bureau).20 A command post exercise aimed at cooperation in create regional readiness for future missions.21David A. (2010) Lifeline for our Nuri copters, New Straits Times, fourth June 2010, p.15.22 Kuik, C.C. (2012) Malaysias U.S. Policy under Naib Am bivalence No More? RSIS working(a) Papers, S. Rajaratnam School of International Studies Singapore.23 ibid24http//iipdigital.usembassy.gov/st/english/texttrans/2011/12/20111215111225su0.7890393.htmlaxzz25xvpdcp8