In Southeast Asia, there are two countries with a Muslim majority population. Those are Indonesia and Malaysia. In recent years, both of them show their moderate Islamic identity in their foreign policy. Basically, Indonesia is not a country that based on Islam,though their Muslim population is the largest in Southeast Asia and the world. Meanwhile, Malaysia is identically an Islamic state.
In order to get better understanding of the reflection of moderate Islamic identity in both countries, this paper uses qualitative methods within the framework of a comparative study. The result of research show that global war on terror has led contestation moderate Islamic identity between Indonesia and Malaysia. Those two largest Muslim countries in Southeast Asia had not previously been vying to show moderate Islamic identity.
The other result of this study is both Indonesia and Malaysia have domestic modal of moderate Islamic character where the imaging applications in the realm of foreign policy have done differently. Representation of moderate Islamic identity was associated with the achievements of both countries to get closer to the West and the Islamic world.
Keywords: competition, identity, foreign policy, Indonesia, Malaysia.