Language Towards Attaining a Strategic Depth in India-Malaysia Engagements Brig Vinod Anand, Senior Fellow, VIF Faisal Ahmed February 26 , 2026 Views: 1055 Comments: 0 On February 8, Prime Minister Narendra Modi concluded a two-day official visit to Malaysia at the invitation of Prime Minister Anwar Ibrahim. This visit marked a significant commitment to reaffirm the ʻComprehensive Strategic Partnershipʼ that was established in 2024. India considers the bilateral relations with Malaysia as deeply strategic in terms of its alignment with the Act East Policy, Indo-Pacific Vision, as well as the MAHASAGAR Vision (i.e. the Mutual and Holistic Advancement for Security and Growth Across Regions); and this visit keenly complimented it. It was diplomatically significant and solidified the deep-rooted civilizational values, cultural heritage and economic cooperation between the two maritime neighbours.
During Prime Minister Modiʼs official visit in 2015, the two countries had elevated their relationship to an ʻEnhanced Strategic Partnershipʼ. In fact, the two countries established diplomatic relations in 1957 itself, immediately after the Malayan Declaration of Independence of August 31, 1957. This article discusses the recent visit of Prime Minister Modi to Malaysia, and argues that this visit has brought an enhanced degree of strategic depth in the bilateral relations. In the recent visit, Prime Minister Modi was accorded a warm ceremonial welcome, and the guard of honour at Perdana Putra building in Putrajaya.
Prior to this, the Prime Minister was personally welcomed by Prime Minister Ibrahim at the airport in Kuala Lumpur. In fact, the personal chemistry between the two leaders was clearly evident throughout the visit, thus deeply reflecting the shared cultural legacy that the two countries share. At the joint press conference, Prime Minister Modi described India-Malaysia ties as “unique and deeply rooted”. The Prime Minister also observed that in the past few years, the bilateral relations have “picked up a new pace”.
In fact, the two countries see immense potential and aspire to deepen cooperation in key geostrategic areas such as counter-terrorism, intelligence sharing, and maritime security. This visit has undoubtedly enhanced the trust between the two countries. The key aspect of this visit was the bilateral meeting between the two leaders in Putrajaya. They reviewed the mechanisms across the spectrum including bilateral cooperation in trade, investment, defence, security, and digital technology.
Interestingly, an Audio-Visual Co-production Agreement to promote joint film and media production was also signed. There were MoUs on disaster preparedness, while several crucial areas of cultural and commercial cooperation were also discussed. Importantly, Malaysia formally pledged to support Indiaʼs bid in the reformed United Nations Security Council. Home Towards Attaining a Strategic Depth in India-Malaysia Engagements Search [1] [2] Moreover, India and Malaysia have significant avenues for cooperation in strategic and maritime domains especially pertinent to the Indo-Pacific region.
For India, ʻASEAN Centralityʼ remains the key to its geostrategic and geoeconomic gravity in the Indo-Pacific. In fact, Prime Minister Modi during his recent visit to Malaysia, has reaffirmed Indiaʼs commitment to peace, security and stability in the region. It is also important to seek enhanced cooperation between the ASEAN Outlook on the Indo- Pacific (AOIP) and the Indo-Pacific Oceans Initiative (IPOI). AOIP, adopted in 2019, is a strategic framework that guides cooperation, rules-based regional order, and seeks to strengthen ASEAN Centrality.
On the other hand, IPOI was also launched in 2019 by Prime Minister Modi at the East Asia Summit. IPOI too calls for a rules-based architecture in the Indo-Pacific. It focuses on maritime security, trade, disaster management, and capacity-building, among others. Importantly, Indiaʼs MAHASAGAR initiative also aligns with IPOI and AOIP, as it is an Indian Navy-led security initiative that seeks to harmonize capacity among the littoral states of the Indian Ocean Rim.
Security partnership with Malaysia, therefore, brings synergy to such strategic initiatives, and create a win-win both for India and Malaysia, as well as for the larger Indo-Pacific region. After the two countries concluded a Comprehensive Strategic Partnership in 2024, they have been making concerted efforts to deepen security and strategic cooperation. Malaysiaʼs location on the Strait of Malacca makes it a decisive geo-strategic player in the Indo-Pacific architecture. The Strait of Malacca, through which almost 40 per cent of the global trade passes, is a strategic chokepoint that lies between Malaysia and Indonesia, and connects the Indian Ocean through the Andaman Sea with the Pacific Ocean through the South China Sea.
This waterway has been very critical for Chinaʼs trade as almost 80 per cent of Chinaʼs trade and its oil imports crosses through it. Given the fear of any blockage by rival powers like the US or India, China had already identified this strait as being strategically vulnerable and termed its apprehensions as the ʻMalacca Dilemmaʼ in 2003. This Strait is also crucial for Indiaʼs trade as well as geo-economic stakes in the South China Sea, especially in the Exclusive Economic Zone of Vietnam. Therefore, a deeper partnership with Malaysia makes strategic sense for India.
The two countries are keen to take their bilateral cooperation still deeper through more joint military exercises, and counter-terrorism measures. India clearly solicits a rule-based maritime order in the Indo-Pacific while also adhering to international legal frameworks such as the United Nations Convention on the Law of the Sea (UNCLOS) 1982. During the recent visit of the Prime Minister, both India and Malaysia strongly reaffirmed their commitment to uphold the tenets of international law as per the UNCLOS provisions to ensure freedom of navigation. In terms of trade agreements, India and Malaysia are closely aligned.
The two countries already have a Comprehensive Economic Cooperation Agreement (CECA), which was signed in 2011. Moreover, Malaysia also supports the ongoing review of the ASEAN-India Trade in Goods Agreement (AITIGA). In fact, AITIGA was signed in 2009 and came into force in 2010. India, however, is seeking this review as over the years Indiaʼs trade deficit with ASEAN has widened.
Also, there have been challenges related to non-tariff barriers, and transparency related issues in the rules of origin as well. Malaysia, which already has a bilateral CECA with India, strongly supports the AITIGA review so that AITIGA becomes more relevant to modern trade practices, and especially in the wake of evolving global geo-economics. Amid the evolving geopolitics, semi-conductor fabrication/manufacturing is a crucial sector of cooperation between India and Malaysia, and the two countries have pledged to strengthen their partnership in semiconductors. Malaysia ranks sixth in the worldwide exports of semiconductors.
A framework pact for deeper engagement in semiconductors was signed between the two countries. In fact, the aim is to leverage the complementarities e.g. aligning Indiaʼs chip design capabilities with Malaysiaʼs robust semiconductor ecosystem comprising of assembly, testing, and packaging. Malaysiaʼs competitiveness lies in the middle value-added activities of the semiconductor value chain, and is also moving into fabrication and chip designs. Moreover, India hosts a significant, yet fast-evolving value chain from chip design to fabrication, and from assembly to testing.
The India Semiconductor Mission 2.0 launched in February 2026 will now focus on making the value chain more robust. It also seeks to strengthen the semiconductor supply chain to meet 70-75 per cent of domestic demand by 2029. The focus will further be on advanced manufacturing to achieve 2-nanometre and 3-nanometre technology nodes. For this Mission 2.0, the Union Budget of 2026-27 has made a provision of Rs. 1,000 crores.
In fact, Indiaʼs semiconductor market is projected to reach $100 billion by Thus, there are plethora of areas in which India and Malaysia have immense potential for cooperation. The two countries also have immense possibilities to cooperation in fulfilling their bilateral, regional, and global obligations. The recent visit by Prime Minister Modi has made one thing very clear: India-Malaysia relations is not about symbolism – it carries a strategic depth. References “PM received by PM of Malaysia on arrival in Kuala Lumpur”, PM India, February 7, 2026, “PM Modi, Malaysia PM Anwar Ibrahim hold talks on defence, economy, and ASEAN-top developments”, The Times of India, February 8, 2026, https://timesofindia.indiatimes.com/india/pm-modi-malaysia-pm-anwar-ibrahim-hold-talks-on-defence- economy-and-asean-top-developments/articleshow/128056946.cms [3] [4] [5] [1] [2] Tags : “PM Modi in Malaysia highlights: India, Malaysia, renew pledges to boost trade, collaboration”, The Hindu, February 8, 2026, ibrahim/article70606481.ece India Semiconductor Mission 2.0, February 7, 2026, https://www.pib.gov.in/PressReleasePage.aspx?
PRID=2224839®=3&lang=1 Ibid. (The paper does not necessarily represent the organisational stance… More >> ASEAN, PM Modi, UNCLOS, Malaysia, semiconductors, IPOI, MAHASAGAR, AITIGA, Indo-Pacific Vision [3] [4] [5] Brig Vinod Anand, Senior Fellow, VIF DETAIL Faisal Ahmed DETAIL Author Global South Institute visits Vivekananda Foundation in India and proposes dialogue between civilizations Poisoned Chalice of German Chancellorsh Friedrich Merz – Victim or Failure? Global South Institute visits Vivekananda Foundation in Indi The Global South Institute took another step in its strategy of a The Poisoned Chalice of German Chancellorship: Friedrich Mer On 6 September 2026, the far-right party, Alternative für Deutsch Examining the Historical Narrative of Chinaʼs ʻNine-Dash Lin Introduction On 12th July 2026, Chinaʼs Ministry of Foreign Af