Name: Azad bin Akbar Khan

Essay on the Diplomatic Relations of South Korea and Malaysia

Malaysia is a federation of 13 unified states which include the Malayan Peninsular and the Northern
States of Borneo, Sabah and Sarawak
1
. South Korea on the other hand, is
a presidential republic consisting of 17 administrative divisions and is a developed country with
the second highest standard of living in Asia.
2
Geographically, the borders of the two nations are
separated by both the East China Sea and the South China Sea.

The establishment of diplomatic relations between these two countries began from 23.02.1960
3
. The
Republic of South Korea was at the time engaged in an extensive worldwide competition with North
Korea for international recognition and legitimacy, with South East Asia being amongst the arenas of
competition.
4
Malaysia similarly sought to establish itself as a legitimate democratic country having
just been liberated from the yoke of colonialism in 1957.
5
However, being marked by its colonial
past and being at the time engaged in conflict with a militaristic communist insurgency, Malaysia
favoured diplomatic relations with South Korea as opposed to that with the communist North Korea.
6


Despite the great potential for economic benefit between the two nation states, this potential was not
realized until 1975
7
. This was largely due to the fact that until the mid-1970s. South Korea was
largely concerned with problems of the Korean Peninsula, whereas Malaysia was facing the issues
closer to home, including heightened tensions with Indonesia and Singapores exit
8
. As such, relations
between the two nation states did not progress beyond Malaysia being a supplier of raw materials.

Beginning from 1975, both South Korea and the Malaysia began experiencing impressive economic
growth; with South Korea achieving 58 percent growth rate on its real gross national product and
Malaysia with 41 percent growth
9
. The Look East Policy initiated by Prime Minister Mahathir in 1982
and the South Korean Governments response brought about further rapid development in the bilateral
trade volume, exceeding one billion dollars in 1983
10
.

Based on the Look East Policy and agreements with the Malaysian Government, South Korea
initially brought about changes in 4 categories (1) industrial and vocational training, (2) short term
training of mid-career official from the Malaysian Government, (3) university education and (4)
closer ties between educational training and research institutions of the two countries
11
. This laid the
foundations of what would solidify the economic relations between the two countries.


1
Worldbook Encyclopedia (2003) Vol 13
2
Worldbook Encyclopedia (2003) Vol 19
3
Ministry of Foreign Affairs Republic of Korea, Asia Pacific Malaysia, (2011)
<http://www.mofa.go.kr/ENG/countries/asiapacific/countries/20071019/1_24385.jsp?menu=m_30_10> accessed on 18
January 2014
4
Kit G Machado, Malaysian Cultural Relations with Japan and South Korea in the 1980s , (1987) Asian Survey pp. 638
5
Daljit Singh, ASEAN and Korea: Emerging Issues in Trade and Investment Relations, (1995) Institute of Southeast Asian
Studies pp 22
6
Ibid pp 22
7
Ibid pp 23
8
Ibid pp 23
9
Ibid pp 23
10
Cho Chul Ho, Korean Wave in Malaysia and changes of the Korea-Malaysia Relations, 2010 pp 4
11
Ibid pp4
As in the 20th century, the Korean-Malaysian relations in the 21st century are still maintained and
strengthened by the governments of the two countries. This is substantiated by six rounds of summits
and frequent exchanges of ministerial-grade senior officials since the beginning of the 21st century
12
.

Aug. 1997. Malaysian Foreign Minister Dato Seri Abdullah bin Haji Ahmad Badawis Visit
to Korea.
Dec. 1997. Prime Minister Koh Kuns Visit to Malaysia. (ASEAN+3)
Nov. 1998. President Kim Dae-jungs Visit to Malaysia. (APEC)
Jun. 1999. Malaysian Foreign Minister Syed Hamid Albars Visit to Korea.
Oct. 2000. Prime Minister Tun Dr. Mahathir bin Mohamads Visit to Korea. (ASEM III)
May 2001. Malaysian King Tuanku Syed Sirajuddins Visit to Korea.
Oct. 2001. Prime Minister Tun Dr. Mahathir bin Mohamads Visit to Korea.
May 2002. Prime Minister Tun Dr. Mahathir bin Mohamads Visit to Korea.
Apr. 2003. Malaysian Education Ministers Visit to Korea.

Current Economic Relations
An analysis of the key industries of both countries reveal that there is a great overlap of the two, this
is especially poignant in light of the fact that South Korea lacks natural resources whereas Malaysia is
known as a resource rich country. Of late, the two countries have seen a marked integration of
relations.

In the financial market, Woori Bank and Woori Investment and Securities have each opened a
Representative Office in Kuala Lumpur, and Daewoo Securities also has formed a strategic alliance
with CIMB in the globally leading Malaysian Islamic finance since 2008
13
.

In the tourism industry, Malaysia Berjaya Group joined US$ 1.8 billion Yerae Recreational Resort
and Housing Complex project in Jeju Island in Korea
14
. Malaysia is far ahead of Korea in the tourism
industry. In 2012, 25.03 million visitors visited Malaysia
15
whilst South Korea on the other hand had
11.1 million visitors
16
. The Korean tourism industry thus has a lot to learn from its Malaysia
counterpart.

In the High-Tech Industry, Samsung Electronics and Malaysian YTL E-Solution contracted to
develop the Wimax Service in Malaysia
17
. Korea Bio-technology Research Center and Malaysian
Bio-tech Corp. concluded a MOU to expand their cooperations in 2009
18
.

Malaysian Korean Culture Exchange
Culturally, people to people exchange between the two countries have been booming. In 1998, the
number of Koreans visiting Malaysia was around 21,700
19
. In 2008, this number increase over 12

12
Ibid pp 4
13
The Star Online, Woori Investment upbeat on economy ( July 7, 2008)
<http://www.thestar.com.my/story.aspx/?file=%2f2008%2f7%2f7%2fbusiness%2f21746195&sec=business>
14
BERJAYA LAND BERHAD Annual Report 2013,< http://www.berjaya.com/berjaya-land/pdf/annual-reports/bjland13.pdf>
15
Tourism Malaysia Tourist Arrivals and receipts to Malaysia (2012)
<http://corporate.tourism.gov.my/research.asp?page=facts_figures > accessed on 18 January 2014
16
Ministry of Foreign Affairs Republic of Korea, Asia Pacific Malaysia, (2011)
<http://www.mofa.go.kr/ENG/countries/asiapacific/countries/20071019/1_24385.jsp?menu=m_30_10> accessed on 18
January 2014
17
YTLe and Samsung sign Mobile WiMAX Deployment Agreement (23 April 2009)
<http://www.ytlesolutions.com/shownews.asp?newsid=45469>
18
<http://www.biotechcorp.com.my/wp-content/uploads/2011/11/publications/Annual_Report_2009.pdf>
19
Supra note 21
times to nearly 270,000
20
. Malaysian visitors to Korea are also on an increasing trend. In 2008, over
83,000 Malaysians visited Korea which is twice the number in 1998
21
.
Of late, Koreas popular culture known as Hallyu or the Korean Wave has been a big hit in not just
Malaysia but all around the world. The successes of Korean dramas such as Winter Sonata, Game
shows such as Running Man and pop icons such as PSY have led to greater interest in the
Malaysian psyche in Korean culture
22
.

The two countries today
Malaysia has since transformed itself from a producer of raw materials into an emerging multi-sector
economy
23
. Malaysia is attempting to achieve high-income status by 2020 and to move farther up the
value-added production chain by attracting investments in Islamic finance, high technology industries,
biotechnology, and services
24
.

Key companies in Malaysia include Petronas, Maxis, DRB Hi-com, Axiata, YTL and Tenaga
Nasional
25
. This is reflective of the main industries the Malaysian economy revolves around. With a
GDP of 304 billion and GDP growth of 5.6%, and national industries focused on natural resources
such as oil and gas, Malaysia has much to offer to the world economy and perhaps more specifically,
South Korea.

South Korea on the other hand has demonstrated incredible growth and global integration to become a
high-tech industrialized economy despite its lack of natural resources.
26
In 2004, South Korea joined
the trillion dollar club of world economies, and is currently the world's 12th largest economy. The
economy is export-driven, with production focusing on electronics, automobiles,
ships, machinery, petrochemicals and robotics.

The key companies in Korea include Hyundai, Samsung, E-mart and SK Holdings. Similarly, this
reflects the emphasis the Korean Economy has on electronics (tele-communications), automobiles and
petrochemicals
27
.
Conclusion
The bilateral relations between the two countries appear to have been of great benefit to both
countries. Relying upon the great support of the friendly relations Malaysia has with South Korea,
Malaysia has emerged as a center of gravity and is now a political and economic leader in Southeast
Asia. However as it stands today, Malaysia is seen to still be a long ways from its intended goal of
reducing its dependence on the more economically advanced states such as South Korea.
Thus as it stands, the friendly relations between the two countries are likely to continue as it has thus
far, perhaps even leading to greater integration and seamlessness , especially with discussions that a
Free Trade Agreement between Malaysia and Korea may be nigh.

20
Ibid
21
Bong Ryull Yang, Current and Future of Korea-Malaysia Relations (13 November 2009),
<http://www.isis.org.my/files/papers/01%20Yang%20Bong-ryull.pdf>
22
Ibid
23
Malaysia Forbes (December 2013),<http://www.forbes.com/places/malaysia/>
24
Ibid
25
Ibid
26
South Korea Forbes (December 2013),<http://www.forbes.com/places/south-korea/>
27
Ibid
However, there may be a lifespan on the relationship shared between the two countries. As Malaysian
resources such as petroleum, reduce over the years, the traditional role of Malaysia as a supplier of
natural resources may be significantly altered. However, in light of the closeness and friendly
relations between the two countries, I believe that the relations between the countries shall largely
continue in the same vein.