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  Updated June 9, 2020


Malaysia


The Federation of Malaysia is a majority Muslim
parliamentary democracy in Southeast Asia. It has an
ethnically and religiously diverse population of 32.6
million, with a Malay majority and large ethnic Chinese and
Indian minorities. Malaysia is considered a middle-income
country, relatively prosperous among Southeast Asian
nations.

Malaysia has undergone significant political upheaval in
2020, as shifts in its ruling coalition deposed Prime
Minister Mahathir Mohamad and brought his former party-
mate Muhyiddin Yassin into power on March 1, just as the
country's Coronavirus Disease 2019 (COVID-19) outbreak
was expanding. Mahathir's ouster through non-electoral
processes raised questions about Malaysia's democratic
system, as the country had undergone its first democratic
change of government less than two years earlier. The
ruling coalition now includes two parties that had been
defeated in those historic 2018 elections. The new
government's initial response to the spread of COVID-19
garnered criticism, as Malaysia saw a rapid rise of COVID-
19 cases before closing its borders on March 18, 2020. The
spread has since stabilized.

Despite its chaotic political processes, Malaysia plays an
active role in regional diplomacy, and it has been a partner
in various U.S. initiatives in Asia, including trade and
security initiatives as well as efforts to combat terrorism
and religious extremism. It is one of four Southeast Asian
nations that have territorial disputes with China in the South
China Sea, and its export-led economy has encouraged it to
undertake trade negotiations with the United States and
others. Malaysia was a member of the Trans-Pacific
Partnership (TPP), from which the United States withdrew
in 2017, and it is one of 11 members of the renamed
Comprehensive and Progressive Agreement for Trans-
Pacific Partnership (CPTPP), although it has not yet ratified
the agreement.

Malaysia was an original member of the Association of
Southeast Asian Nations (ASEAN), seeing itself as both a
regional leader and a moderate voice within the Islamic
world. Despite generally cooperative bilateral relations with
the United States, some issues block closer ties, including
Malaysian opposition to much of U.S. policy in the Middle
East, and U.S. concerns over some Malaysian economic
and human-rights policies.


Until May 2018, Malaysia had been ruled by a single
political coalition since its independence from the United
Kingdom in 1957. The Barisan Nasional was led by the
United Malays National Organization (UMNO), a Malay-
nationalist party that draws its membership predominantly


from the country's Malay majority. During its lengthy
period in power, UMNO enacted a series of economic and
social preferences for bumiputera (ethnic Malays and
indigenous peoples), and it derived much of its appeal from
issues of ethnic identity. Mahathir was an UMNO member
until 2016, when he left to form a new party, Bersatu.

The subsequent 2018 election led to a peaceful and
democratic change of government in a region where many
analysts have perceived a decline in democratic institutions
in recent years. Many heralded the peaceful transfer of
power as a sign of democratic development in a country
long seen as an authoritarian democracy. However, some
analysts argued that the pace of political and economic
reform under Mahathir's government was slow. In early
2020, rivalries within two of its three component parties led
to a vote of no confidence in Mahathir and the rise of
Muhyiddin, a veteran politician who suffered a bout of
cancer in 2018, on March 1.

The new coalition's future remains unclear, as it is
uncertain whether Muhyuddin has a safe parliamentary
majority. On May 18, Malaysia's parliament held a one-day
session, declining to vote on an opposition challenge to
Muhyuddin's government, and recessing due to COVID-19
concerns. The move drew criticism from the opposition, as
have moves by Malaysia's Attorney General to drop
corruption charges against two prominent UNMO leaders.






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Source: CIA World Factbook.

USMah~aysia Ret.auwnm
The relationship between the United States and Malaysia is
a complex one. Bilateral ties deepened following the
Obama Administration's strategic rebalancing to Asia,
and the relationship was elevated to a Comprehensive
Partnership in 2014. More recent political developments in
both countries have led to uncertainties about the future. In

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