Malaysia, Singapore reject Malacca Strait toll plan
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- Mohamad Hasan said any decision on the Malacca Strait cannot be made unilaterally and must involve Malaysia, Singapore, Indonesia and Thailand, emphasizing ASEAN operates entirely on consensus
- Purbaya Yudhi Sadewa floated a levy on ships passing through the Malacca Strait, a proposal backed by President Prabowo Subianto and inspired by Iran's plans to charge vessels at the Strait of Hormuz
- Vivian Balakrishnan said Singapore would not participate in any attempt to close, interdict or impose tolls on the strait, calling the right of transit passage 'guaranteed for everyone'
- The Malacca Strait handles over 25% of global trade, connecting India to China and East Asia via the South China Sea
- The toll debate comes amid the Strait of Hormuz closure following the Feb 28 US and Israeli attack on Iran, with the war now in its eighth week squeezing global energy supply
Why it matters: With over 25% of global trade transiting the Malacca Strait, Indonesia's proposed levy needs buy-in from three neighbors who have publicly rejected it. The debate unfolds as the Strait of Hormuz closure squeezes energy supply, raising the stakes for ASEAN's consensus-based maritime framework.
