KUALA LUMPUR: Beijing has voiced its concerns on the Malaysia-United States Agreement on Reciprocal Trade (ART), says outgoing Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz.
He said Prime Minister Datuk Seri Anwar Ibrahim had a meeting with Chinese Premier Li Qiang in Kuala Lumpur a day after the agreement was signed on Oct 26.
"We had discussions. They (China) were concerned as they are also Malaysia’s strategic partner in terms of trade, especially being the largest trade partner," he told the Dewan Rakyat on Monday (Dec 1).
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He said Malaysia has also sent a team to China to provide further explanations on the ART.
"They said they will have to put it on record, as it is a geopolitical issue. They wanted to ensure that what they have agreed will not burden the trade ties between us (Malaysia and China," he said while winding up debates on the Supply Bill 2026 (DR30/2025) and the Development Expenditure Estimates 2026 Motion.
He said the development came with a silver lining as it has brought China and Malaysia closer, with Beijing now wanting to sign a memorandum of understanding with Malaysia.
It was recently reported that Beijing issued a direct rebuke to Malaysia and Cambodia over the new trade deals the two countries signed with the United States last month.
Chinese Ministry of Commerce officials reportedly told their Malaysian counterparts that Beijing has "grave concerns" over certain parts of the deal.
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Clauses in both agreements that effectively require Malaysia and Cambodia to align with Washington on sensitive national security issues were the bone of contention for Chinese officials.
Anwar had also told the Dewan Rakyat earlier in the day that Malaysia had provided clarification on the ART to China.
He said nothing in the agreement prevented Malaysia from continuing to cooperate with China.
Tengku Zafrul's six-year tenure as a Senator ends on Tuesday (Dec 2) and with it, his term as a minister.
Anwar said he would announce Tengku Zafrul's new role on Wednesday (Dec 3).
