Post by : Meena Ariff

Malaysia’s latest five-year roadmap, the 13th Malaysia Plan, has surprised many by giving unusual attention to defence and security. While such plans normally focus on economic growth, infrastructure, and social development, this time Prime Minister Anwar Ibrahim highlighted a clear priority — protecting Malaysia’s sovereignty in the South China Sea.

Direct Mention of the South China Sea

In his speech to parliament on 31 July, Anwar said Malaysia would “intensify readiness to confront sovereignty and security threats in the South China Sea”. This is the first time the disputed and resource-rich waters have been directly mentioned in such a national plan.

Previously, the 12th Malaysia Plan only spoke of improving defence in general, without pointing to a specific region.

Why the Focus Has Changed

Experts believe the focus has shifted because of China’s naval activities and illegal fishing by Vietnamese vessels inside Malaysia’s Exclusive Economic Zone (EEZ). The South China Sea holds oil, gas, and rich fishing grounds — Malaysia says almost a quarter of its GDP comes from offshore resources here.

Malaysia is already upgrading its defence in East Malaysia with new radars, long-endurance drones, and a naval base in Sarawak that could even handle submarines.

Growing Pressures at Sea

In 2024, Chinese coast guard ships were present at the Luconia Shoals for almost every single day of the year, coming close to Malaysian oil platforms. This “grey-zone” pressure — actions that stop short of war — challenges Malaysia’s energy security and sovereignty.

Vietnamese fishing fleets are also a major problem. Overfishing at home has driven them into Malaysian waters, where they are often aggressive and sometimes armed. Between 2019 and 2024, Malaysian authorities detained 598 illegal fishing vessels, three-quarters from Vietnam. Some of these boats have also been linked to wildlife smuggling and human trafficking.

Defence Plans Under the 13th Malaysia Plan

Malaysia’s military has faced challenges with old equipment and limited budgets. Still, the government plans to increase defence spending from 1.1% to 1.5% of GDP by 2030.

The plan includes:

• Two new long-range radars from France.

• Three Turkish-made drones by 2026, based in Labuan for round-the-clock surveillance.

• Possible purchase of 33 second-hand F/A-18 Hornet fighter jets from Kuwait.

• A new naval base at Muara Tebas in Sarawak, giving quicker access to the open sea.

Not Just About Hardware

Experts say Malaysia will also strengthen joint operations between the navy and coast guard. This mirrors how China uses both its navy and coast guard in the South China Sea. The aim is to create an “integrated, agile and focused” force that can stay longer in disputed areas.

Diplomatic Balancing Act

Despite the stronger defence focus, Malaysia is expected to keep its non-confrontational approach towards China. This means avoiding direct military clashes while quietly increasing the cost of any intrusion — a strategy known as deterrence by denial.

At the same time, Malaysia will keep engaging China as a strategic partner and push through ASEAN for a code of conduct in the South China Sea.

Why It Matters

The move signals that protecting offshore resources in the South China Sea is now a central part of Malaysia’s national strategy. For the states of Sabah and Sarawak, this also shows the federal government is taking their security concerns seriously.