Iran Tracker

Nuclear:

According to Datuk Seri Mohd Affendi Norwawi, a minister in the department of the Prime Minister of Malaysia, Malaysia is willing to help Iran normalize its relations with the international community over its nuclear program.[1] Malaysia is a member of the Non-Aligned Movement, which released a statement in July 2008, which stated that NAM states “welcomed the continuing cooperation being extended by the Islamic Republic of Iran to the IAEA” and “reaffirmed that states’ choices and decisions, including those of the Islamic Republic of Iran, in the field of peaceful uses of nuclear technology and its fuel cycle policies must be respected.”[2]

Malaysia was one of three countries to vote against a November 2009 IAEA resolution rebuking Iran.  Shortly after the vote, however, Malaysia recalled its UN envoy Mohd Arshad Manzoor Hussain, and the Malaysian Foreign Ministry issued a statement saying, “the voting (of the envoy) was not in accordance with the procedures of the government and therefore the minister of foreign affairs has instructed the permanent representative of Malaysia to the United Nations in Vienna to return to Malaysia for consultations.”[3]

[Click here for more information on the Non-Aligned Movement.]

Economic Relationship:

Iran and Malaysia have cooperated in a number of large industrial projects, many of them in the energy sector. In December 2007, the two signed a $6 billion deal to cooperate in the development some of Iran’s massive offshore gas fields.[4] In addition, Iran and Malaysia are working towards an extensive multilateral oil refinery deal with Syria and Venezuela. For over a year, four countries have discussed the refinery, which would process 140,000 barrels per day in a refinery in Hom, Syria.[5] In April 2009, the National Iranian Oil Engineering and Construction Company and Malaysian SKSD established a joint company in order to construct the Kadah Refinery in Malaysia.[6] As of August 2009, the combined value of Iran-Malaysia oil cooperation stands at $22 billion, however this number will likely be increased after a the two countries began negotiating further energy cooperation.[7]  According to an August 2009 statement by Iranian Deputy Oil Minister for International Affairs Hossein Noqrekar-Shirazi, the Kedah refinery will “be supplied with 100,000 [barrels per day] super-heavy and 150,000 [barrels per day] heavy export crudes coming from Iran." Nogreker-Shirazi also announced that Malaysia had asked for Iran’s assistance in the construction of yet another refinery, to be located in the south of Malaysia.[8]

In June 2009, the Iran-Malaysia Businessmen Council was established in Kuala Lumpur.[9] During the same month, Iranian Deputy Oil Minister Seyyed Noureddin Shahnazizadeh met with Malaysian International Trade and Industry Minister Datuk Mustapa Mohamed in Kuala Lumpur to discuss the strengthening of energy ties.[10]   Malaysia also attended the Iran gas forum on September 26-27, 2009 with Germany, the United Kingdom, Japan, the Netherlands and South Korea.[11] In September 2009, Malaysian Minister of International Trade and Industry Datuk Mustapha Mohamed announced Malaysia’s hope of boosting the volume of trade with Iran.[12]  In October 2009, Iranian Foreign Minister Manouchehr Mottaki praised the diversified bilateral cooperation between Iran and Malaysia and pledged further bilateral progress in the areas of energy, banking, housing, and transportation in particular.[13]

[Click here for more information on Malaysia’s business activity with Iran.]

Diplomatic/Military Relationship:

Datuk Seri Mohd Affendi Norwawi, a minister in the department of the Prime Minister of Malaysia has said that Malaysia maintains friendly relations with Iran and is willing to help solve the international standoff over Iran’s nuclear program.[14] Malaysian Higher Education Minister Datuk Mustapa Mohamed said, in a November 2007 meeting with Iran’s Minister of Science, Research and Technology Mohammad Mehdi Zahedi, that he hopes to reactivate a memorandum of understanding from 2003 that would allow the two countries to increase educational exchanges between the two countries.[15] The two countries also agreed in December 2008 to cooperate on antinarcotics measures through Malaysia's National Anti-Drugs Agency and Iran's Drug Control Headquarters. [16] Both countries are members of the Organization of Islamic Conference (OIC) and the Non-Aligned Movement (NAM); they have used these forums and bilateral relations to develop political ties.[17]

In May 2009, Iranian Ambassador to Malaysia Mehdi Khandaqabi indicated that Iran and Malaysia enjoy a high-level cooperation and are experiencing deepening and growing cooperation.[18]  In June 2009, Malaysian Deputy Prime Minister Tan Sri Dato' Haji Muhyiddin Yassin said that “Iran and Malaysia have extensive potential for cooperation and they should try to use all the capacities available in the best possible manner through proper planning."[19] 

In November 2009, Malaysian Deputy Foreign Minister A. Kohilan Pillay denied allegations that Malaysia was aiding the Iranian nuclear program, saying that Malaysia “was not a centre for nuclear weapons shipments to Iran” and denied any role in illegal export of nuclear weapons to Iran.  Kohilan did, however, name certain individuals and two Malaysian companies that were in violation of the International Emergency Economic Powers Act and the United States Iran Embargo.[20]

In his meeting with Malaysian Ambassador on January 1, 2010, Manouchehr Mottaki praised the two countries' level of cooperation, and said that growing ties between Tehran and Kuala Lumpur are the result of rich cultural commonalities and the existence of ample grounds for cooperation.  He further named oil industries, power plants, infrastructures, and investments as good grounds for the growth of the two countries' joint cooperation.  The Malaysian diplomat, who submitted a copy of his credentials to Mottaki during the meeting, said that the two countries' economic ties should match their political ties.[21]