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Malaysia Defence and Security Report Q1 2008

Published by: Business Monitor International

Published: Nov. 28, 2007 - 48 Pages


Table of Contents


Executive Summary
SWOT Analysis
Malaysia Security SWOT
Malaysia Defence Industry SWOT
Malaysia Economic SWOT
Malaysia Political SWOT
Malaysia Business Environment SWOT
Political Overview
BMI Core Scenario
Domestic Political Outlook
Security Risk Analysis
BMI’s Security Ratings
Table: Malaysia Regional Risk Ratings
State Terrorism Vulnerability Index
Regional Security: South East Asia Q108
Overview
Inter-State Conflicts
Internal Conflicts
Malaysia Terrorism Risk Ratings
Malaysia Conflict Risk Rating
Malaysia Physical Safety Risk Ratings
Security Overview
Internal Security Situation
Table: Insurgent Groups
External Security Situation
Territorial Disputes
Insurgent and Terrorist Activity
Piracy
Table: Actual and Attempted Piracy Attacks
Bilateral and Multilateral Relations
Defence Industry
Armed Forces
Multilateral and Bilateral Defence Relations
Table: Malaysia Regional Armed Forces
International Deployment
Weapons of Mass Destruction
Market Overview
Industry Trends & Developments
Arms Trade Overview
Procurement Trends & Developments
Industry Forecast Scenario
Army Enlargements
Table: Malaysia Defence Sector Historical Data & Forecasts
Table: Malaysia Defence Sector Historical Data & Forecasts (cont)
Key Risks to BMI’s Forecast Scenario
Macroeconomic Forecast
Table: Malaysia - Economic Activity
Company Profiles
Deftech
Malaysia Shipyard and Engineering
SME Ordnance
Composite Technology Research Malaysia
Airod
EADS
BMI Forecast Modelling
How We Generate Our Industry Forecasts
Defence Industry
Sources


Abstract

BMI’s newly-released Malaysia Defence & Security Report Q1 2008 provides an assessment of the
country’s internal and external security situation. Internally the security situation remained stable in
Malaysia, with the government maintaining strict control over any dissenting political movements.
Malaysia has strict anti-terrorism laws in place, mainly with regards to how information is used in
activities related to terrorism. However, these laws also double up as a control for online criticism of the
government. In Q407, one of Malaysia’s leading online editors answered to reports that his online
publications had questioned Islam. The government’s use of the anti-terrorism laws to control internal
political dissent emphasises that while the government is concerned with curbing terrorism in Malaysia,
it is equally concerned with maintaining broad support for the Malaysian government.


Malaysia’s well-educated workforce, access to defence technology and relatively low labour costs are the
strong points of its defence industry. In Q407 overseas defence firms began to expand their operations in
Malaysia, mainly in the missiles and avionics industry. Also during the quarter, India expressed a desire
to work more closely with Malaysia in the area of cruise missiles. BrahMos Aerospace put forward the
suggestion that the two defence industries should forge closer ties. Malaysia has expressed a desire to
purchase missiles but India is not the only producer that Malaysia has been interested in. The willingness
to deal with the country is also driven by security reasons, as India is seeking to expand its influence in
the region. One method of achieving this is to strengthen ties in the defence platforms market.




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