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these are ethnic Chinese. They've had Islam in that area since the 1600s
Yes. But the situation must sure be not same as in 1600s.
Correct. What has happened is that wahabbi style Islamisists have started going all over the world with their influences. They basically missionary work certain areas feeding and educating poor kids. In the process they get educated in the wrong ways. All over Asia governments are stuck with what to do when before they only had moderate Muslim versus the new converts or more radicalized Muslims.