The Malaysian Investment Development Authority (MIDA) expects to attract more international aerospace industry players, given the strong prospects in the industry brought about by the growing demand for aircrafts in the region.
In the first quarter of the year, two foreign aerospace projects with investments of RM55.9 million were approved, MIDA Executive Director for Manufacturing Development (Non-Resource), Dato’ Wan Hashim Wan Jusoh said at a briefing on the Malaysian aerospace industry yesterday.
MIDA is currently in talks with a number of aerospace-related companies, which are keen to invest in Malaysia as these companies are optimistic on the growth potential in the Asia-Pacific and Malaysia is in the heart of the region, he said.
Malaysia offers a conducive ecosystem and related infrastructure that support the development of the industry, he said, while pointing out the need to strengthen the local players’ capabilities to support the growth in the industry.
Last year, some RM387.3 million in investments in six projects were approved, of which RM190.6 million came from domestic investors and RM196.7 million from foreign companies.
Based on data from MIDA, some 62 companies had invested a total of RM11.7 billion in the aerospace industry as at March this year, of which 28 are in the maintenance, repair and overhaul (MRO) services and 34 in manufacturing.
Among the major foreign-owned companies which have established a presence in the country are General Electric (GE) Engine Services Malaysia, Malaysia Eurocopter, Honeywell Aerospace Services, Hamilton Sundstrand, Agusta Westland and Spirit AeroSystems.
Malaysian companies which featured prominently in the local aerospace industry include Malaysia Aerospace Engineering (MAE), AIROD (Aircraft Inspection, Repair and Overhaul Depot), Sepang Aircraft Engineering and Composites Technology Research Malaysia (CTRM).
Source MIDA, NST Business Times and StarBiz 22 May 2014