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Taiwan-China Remarks Spark Concern for Malaysia’s Semiconductors

8/26/2026

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Story summary
  • Malaysian Prime Minister Anwar Ibrahim said Taiwan is part of China, sparking non-alignment debate.
  • Chinese Ministry spokesman praised the statement, reiterating Taiwan belongs to China.
  • Taiwan’s government condemned the remarks, warning they could hurt investment confidence in Malaysia’s semiconductor industry.
  • Anwar called for stronger Sabah defenses, citing U.S.-backed facilities on the Philippines’ Balabac Island.
  • In July, Malaysia filed a UN protest against the Philippines’ continental shelf claim over Sabahan waters.