In December 2009, the Malaysian High Court judge, Liu Meilan, according to the Federation of Malaya Constitution, guarantees all persons the freedom of religion and freedom of speech based on the decision to allow Herald-The Catholic Weekly to use “Allah,” translated as the word of God. 60% of the Malaysian population belongs to the Muslim community and refused to accept the ruling; the activists occupied the streets and the whole Malaysian society became turbulent. Malaysia is one of the most successful countries that dealing with the relationship between different religions in Southeast Asia in the past. But in fact, most Malaysians have little concept about “religious dialogue.” This also shows that the “theocratic” Islamic government, which has an open attitude toward religion, is quite different from Taiwan. This article will explore the theories of religious conflict first, examining the reasons why religious conflicts began, and then probed into the history and theory of religious dialogue. It will then introduce the religious conflicts in Malaysia, including their meanings and a few specific recommendations about religious dialogue.