Middle Powers Must Strengthen Cooperation, Preserve Strategic Agency

Australian High Commissioner to Malaysia Danielle Heinecke, during a fireside chat session titled Building Middle-Power Agency at the 39th Asia-Pacific Roundtable (39APR) here on Tuesday. -- Photo by ISIS Malaysia
02/07/2026 12:30 AM

By Wan Muhammad Aslah Wan Razali

KUALA LUMPUR, July 1 (Bernama) -- Middle powers should deepen strategic cooperation to avoid being forced into binary choices amid growing geopolitical competition among major powers, said Australian High Commissioner to Malaysia Danielle Heinecke. 

Speaking during a fireside chat titled Building Middle-Power Agency at the 39th Asia-Pacific Roundtable (39APR) here on Wednesday, Heinecke said middle powers must strengthen their strategic agency by working together in sectors including trade, technology, defence and maritime, while reinforcing regional institutions and international rules.

“We do not want great powers to go down binary routes. We do not want to be forced to make choices,” she said, adding that greater collaboration among middle powers is preferable to inaction.

Citing Australia and Malaysia as an example, she said both countries are expanding cooperation across emerging sectors while diversifying their economic partnerships.

She noted that under Australia’s “Invested: Australia’s Southeast Asia Economic Strategy to 2040”, Canberra aims to increase investment and trade with Southeast Asia, describing the region as Australia’s most important emerging economic partner.

Malaysia, she added, currently represents Australia’s largest investment pipeline in Southeast Asia and is among its most significant trading and investment partners in the region.

Beyond traditional defence ties, Australia and Malaysia are also broadening maritime cooperation to include transport, decarbonisation, coast guard collaboration and the promotion of international maritime law.

Heinecke said Australia and Malaysia were also supporting regional cooperation through a maritime law centre at University of Wollongong Malaysia in Shah Alam, which facilitates dialogue and knowledge-sharing among ASEAN countries on the Law of the Sea and maritime governance.

On maintaining strategic space amid global tensions, Heinecke stressed that regional institutions remain essential in amplifying the voices of middle and smaller states.

She said Australia continued to invest heavily in regional organisations such as ASEAN and the Pacific Islands Forum, noting that strong regional institutions would enable smaller countries to influence global discussions.

Referring to Malaysia’s ASEAN Chairmanship in 2025, Heinecke said regional leadership could play a crucial role in exercising strategic agency despite the limitations of multilateral institutions.

“ASEAN is not perfect, but everybody also acknowledges you’ve got to hold on to what you’ve got and keep working with it,” she said, adding that Australia remained committed to supporting a strong ASEAN as a cornerstone of regional stability.

Heinecke also underscored the importance of preserving international institutions, including the World Trade Organisation (WTO) and the United Nations (UN), despite their shortcomings.

“We want rules. We know it’s not perfect. Does that mean you give up? No,” she said, adding that Australia wanted to work with countries such as Malaysia to strengthen the multilateral trading system and avoid “a race to the bottom.”

The 39APR, organised by the Institute of Strategic and International Studies (ISIS) Malaysia, is being held from July 1 to 2 under the theme “Accelerating Agency and Action.”

-- BERNAMA