China and Malaysia sign agreement on navy vessels

Reuters News
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Posted: Nov 01, 2016 7:45 AM

BEIJING (Reuters) - China and Malaysia signed 14 agreements on Tuesday, including one on navy vessels, after a meeting between Malaysian Prime Minister Najib Razak and Chinese Premier Li Keqiang.

The agreement on the joint development of the vessels, known as littoral mission ships, was announced at a signing ceremony at Beijing's Great Hall of the People.

Last week, Malaysia's defence ministry said in a posting on social media that the country would sign a contract to purchase patrol vessels from China during Najib's visit, but the post was later removed.

The deal could mark Malaysia's first significant defence deal with China at a time of rising tension in the South China Sea and as the United States and China compete for influence in the region.

(Reporting by Sue-Lin Wong, Writing by Michael Martina; Editing by Clarence Fernandez)