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Malaysia's finance minister, Lin Guanying, said Wednesday that Malaysia is negotiating with China on a $20 billion railway project. A few days ago, another cabinet official said Kuala Lumpur had decided to cancel the contract.
After Malaysian Prime Minister Mahathir took office last May, he vowed to renegotiate or cancel what he considered an "unfair" China project. The project was authorized by his predecessor, Najib.
Lin Guanying said Wednesday that the Cabinet has decided to seek further negotiations on the East Coast Link Railway (ECRL) project, which is the core project China is promoting in Malaysia's infrastructure sector.
Last week, Malaysia's Minister of Economic Affairs, Mohamed Azmin Ali, said the cabinet had decided to cancel the contract with China Transport Construction Group Co., Ltd. and the government was still determining how much cancellation fees would be paid for the contract with China.

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