India and Malaysia have pledged to deepen cooperation in trade, security, and technology, with a particular focus on advancing their partnership in the semiconductor industry. During his first visit to Malaysia in more than ten years on February 8, Indian Prime Minister Narendra Modi met with Malaysian Prime Minister Anwar Ibrahim. The two leaders signed several agreements covering renewable energy, healthcare, and artificial intelligence.

Following the meeting, Modi stated that the partnership between the two countries would expand further in artificial intelligence, digital technology, semiconductors, health, and food security. Anwar Ibrahim said the discussions would make bilateral relations more strategic and robust. Official data show Malaysia ranks sixth globally in semiconductor exports, contributing about 25 percent of its GDP. India’s foreign ministry noted Malaysia’s 30–40 years of experience in the sector and expressed Indian companies’ interest in collaboration on research, production, and testing facilities.

Trade between the two nations remains significant, with India exporting goods worth $7.32 billion to Malaysia last year and importing $12.54 billion. Modi also highlighted the role of Malaysia’s 3 million people of Indian origin as a vital bridge in bilateral relations.