PM Anwar Warns Europe: Malaysia Will Seek Alternatives After RM600 Million Missile Deal Fallout

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Prime Minister Datuk Seri Anwar Ibrahim has warned that developing nations may begin looking for alternative partners if European countries continue to treat them unfairly, citing Malaysia’s dispute over a cancelled defence contract involving Norway.

Speaking in an exclusive interview with Russian television network RT, Anwar expressed frustration over the cancellation of an export licence for the Naval Strike Missile (NSM) system, despite Malaysia having already paid 95 per cent of the contract value.

He said Malaysia had made repeated attempts to obtain a satisfactory explanation but had yet to receive one, adding that the incident would inevitably influence the country’s future decisions on international partnerships.

“If this is how European countries choose to treat us while others remain silent, then we will have no choice but to explore alternatives and reconsider doing business with them,” he said.

The Norwegian government reportedly revoked the export licence for the missile system in March, just days before delivery was scheduled, following tighter controls on the export of sensitive military technology.

Defence Minister Datuk Seri Mohamed Khaled Nordin previously revealed that the unilateral decision had caused Malaysia to suffer direct losses exceeding RM600 million, with indirect costs potentially surpassing RM1 billion.

Anwar said Malaysia initially suspected the issue could be linked to NATO policies or assistance from the United States. However, he noted that other NATO members, including Germany, France and Italy, had reaffirmed their commitment to maintaining cooperation and business ties with Malaysia.

He stressed that the matter involved a legally signed agreement and substantial payments had already been made by Malaysia.

“We signed the agreement and paid 95 per cent of the total value. What happened afterwards simply makes no sense,” he said.

The Prime Minister described the situation as deeply disappointing, especially given Norway’s previously strong relationship with Malaysia. He revealed that he had personally spoken to Norway’s Prime Minister, who apologised but explained that the decision was made on security grounds.

Anwar also disclosed that Malaysia sent representatives to the United States to seek clarification regarding Washington’s involvement. According to him, American officials assured Malaysia that the decision was not influenced by the US government.

He criticised the manner in which the issue was handled, saying it gave the impression that Malaysia was being treated without respect despite being a sovereign nation.

“We have lodged a strong protest and this matter will not simply disappear,” he said.

Drawing comparisons with Malaysia’s dealings with Russia, Anwar praised Moscow for fulfilling its commitments even while facing sanctions and challenges involving international payment systems.

“Russia has honoured every commitment despite difficult circumstances. We have not encountered any breach of obligations, and that is a fact,” he said, adding that his experience differed from negative narratives often promoted about Russia in the West.

The Prime Minister also highlighted the untapped potential of Malaysia-Russia cooperation, saying there was significant room for growth in various sectors.

While emphasising that the United States remains one of Malaysia’s key trade and investment partners and that economic ties with China continue to expand rapidly, Anwar said Malaysia is also keen to strengthen cooperation in emerging fields such as artificial intelligence, digital technology, cybersecurity and modern agriculture.

He further expressed appreciation to Russian President Vladimir Putin for his supportive views on the matter and revealed that both sides had established a dedicated team to facilitate and accelerate future areas of collaboration.

The controversy has sparked wider debate about trust, reliability and fairness in international defence agreements, particularly as countries increasingly reassess strategic partnerships in an evolving global landscape.

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