By INS Contributors

KUALA LUMPUR, Malaysia: A Malaysian lawmaker has called on the government to clarify what he describes as contradictions in the nation's foreign policy, following the recent docking of United States warships and a multi-million dollar defence supply deal involving an Australian rare-earths miner operating in the country .

Wong Chen, the MP for Subang and chairman of the Parliamentary Special Select Committee (PSSC) on International Relations and International Trade, highlighted the government's vocal stance on international conflicts. He noted that Putrajaya has taken a "critical and vocal position on Palestine and Gaza," while appearing less assertive in urging de-escalation regarding tensions involving Iran.

"However, these positions do not sit well with recent action of allowing US warships to berth in Penang and also the recent announcement that Lynas will be supplying the Pentagon with rare earth for weapons," Wong was quoted as saying by local media. "The government needs to explain these apparent contradictions."

His comments come amid heightened geopolitical awareness in the region. Prime Minister Anwar Ibrahim has previously affirmed Malaysia's sovereign right to its foreign policy, stating in parliament last year that the country would not compromise on its support for Palestine or its ties with Iran, even in the face of potential economic pressure from the US .

US Warships in Penang

Photographs shared on social media showed two US Navy vessels berthed at the North Butterworth Container Terminal earlier this month. According to media reports, the vessels are littoral combat ships fitted for minesweeping operations and had previously been forward-deployed to Bahrain in West Asia.

Defence Minister Khaled Nordin confirmed the ships docked in Penang on March 14 and departed two days later, stating that they had complied with all local procedures.

Wong argued that Malaysia should have denied the berthing request. "We should have denied the berthing of the warships as it will create unnecessary security risks to us and at the same time create uneasiness among the Muslim population, especially during Ramadan," he said. He suggested the vessels should have been directed to proceed to Singapore instead.

Lynas and the US Defence Sector

The second point of contention involves Lynas Rare Earths Ltd, which operates a processing plant in Malaysia. On March 16, the company announced it had signed a binding letter of intent with the US Department of Defense . The four-year agreement, valued at US$96 million, will see Lynas supply heavy and light rare-earth oxides—critical minerals used in everything from electric vehicles to advanced military applications such as missile guidance systems .

Lynas CEO Amanda Lacaze stated the deal would help ensure the US defense industrial base has access to these essential materials . The agreement includes a floor price of US$110 per kilogram for neodymium-praseodymium (NdPr), a key component in high-performance magnets . This follows earlier discussions between Lynas and the Pentagon regarding market stability mechanisms .

Wong noted that the Atomic Energy Licensing (Amendment) Act has not yet been ratified, meaning Lynas' operations and exports currently fall outside that specific regulatory framework . The bill, passed by parliament last August, is designed to strengthen Malaysia's regulatory oversight of radioactive materials and bring the country in line with international standards, but its full enforcement is pending .

"While the government may not be able to control what Lynas produces and to whom they can sell their products to, going forward, it should be a national policy that we should not encourage foreign direct investments that are involved in the manufacturing of weapons and arms," Wong said.

The Subang MP added that his parliamentary committee will only resume sittings in approximately three months due to organisational and budgetary constraints. "Nevertheless, we will attempt to find the budget for a more urgent hearing after Hari Raya," he said.