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Transportation Technology – Aerospace

Aerospace

Globally, the sector was adversely affected by the COVID-19 pandemic, with many suppliers facing closure due to OEMs such as Boeing and Airbus decreasing their aircraft production rates. However, the aerospace industry expects a gradual turnaround in aircraft demand with a rise in passenger traffic as borders reopen. This will have a positive spillover effect on the manufacturing and maintenance, repair and operation (MRO) segments of the industry. According to Roland Berger, travel demand will recover by 2024 largely due to global vaccination programmes, the use of travel certificates, the easing of domestic restrictions and border openings.

 

The sector remains a strategic growth area for Malaysia and is home to a vibrant mix of foreign and local industry players. There are about 230 companies, which are involved in maintenance, repair and overhaul (MRO), aero-manufacturing, education and training, systems integration, and engineering and design activities.

 

The local companies that are already part of the global supply chain include UMW Aerospace, SME Aerospace, CTRM Aero Composite Asia AeroTechnic and Airod. Malaysia also has supporting companies such as IAC Manufacturing, Asahi Aero Malaysia, Micron Concept Aerostructures and Morrissey Integrated Dynamics.

 

Malaysia continually aims to be the preferred global aerospace outsourcing centre and through MIDA with various efforts will continue to attract investment by OEM and Tier-1 companies through investment mission to targeted countries, industry linkage programmes, and supply chain programmes to be part of the global supply chain ecosystem in Malaysia.

37.9%

Domestic Investments

(RM39.7 mil)

RM104.7 mil

Total Approved Investments
in 2021

80%

62.1%

Foreign Investments

(RM65 mil)

RM104.7 mil

Total Approved Investments
in 2021

37.9%

Domestic Investments

(RM39.7 mil)

62.1%

Foreign Investments

(RM65 mil)

2

Approved Projects

247

Job Opportunities

For more statistics, please click here.

Human Capital Development

To support skilled workforce for the aerospace requirements, local training institutions have embarked on several aerospace-related training activities. This includes the Advanced Composite Training Centre (ACTC) at UniKL – Malaysia Institute of Aviation Technology, Malaysian Aviation Training Academy, Advanced Aeronautics Technology Centre and Aero Precision Resources.

 

Malaysia has more than 30 institutions that offers aviation- related course such as Universiti Putra Malaysia, Universiti Science Malaysia, UniKL, International Islamic University Malaysia, University Tun Hussein Onn Malaysia and University Technology Malaysia.

 

Besides human capital development efforts, Malaysia also offers a comprehensive infrastructure for the industry. At present, Malaysia has several aerospace parks namely, Subang Aerotech Park, KLIA Aeropolis, UMW High-Value Manufacturing Park, Senai Airport Aviation Park, Nusajaya Tech Park and Kulim Hi-Tech Park that provides the choice of ready-built facilities or land plots for customised developments.

50%

of Wing Part for Boeing B737 manufactured by ACM, Kedah

60%

of Wing Part of Airbus A320 produced by CTRM, Melaka

Sub-sector

Aerospace Manufacturing

Engineering & Design

Aero-structure

Avionics

Engines

Airframe Equipment

Sub-sector

Maintenance, Repair and Overhaul (MRO)

Airframe

Engines

Component

Line Maintenance

Major Aerospace Companies

Spirit AeroSystems Inc., USA

Safran S.A., France

Boeing & Hexcel Co., USA

Airbus SAS, France

Hamilton Sundstrand
(a subsidiary of Collin aerospace)

SR Technics, Zurich

Lufthansa & MTU Maintenance, Germany

General Electronic, USA

Honeywell Aerospace Services, USA

GKN Aerospace, UK

Barnes Aerospace , USA

Our Investors' Highlights

UMW Aerospace Sdn. Bhd., a wholly-owned company of the UMW Holding, rolled out its maiden fan case for Rolls-Royce Trent 1000 engines in November 2017. The engine fan casing, being one of the largest and most complex parts of the engine to manufacture, will bring along many spill-over effects. UMW Aerospace is the Tier 1 supplier for Rolls Royce to manufacture aircraft parts in the region.

- UMW Aerospace

Get Started

MIDA provides comprehensive support to your business as you consider the competitive and comparative advantages Malaysia has to offer for your investment. Explore our dedicated resources, wide range of facilities or consultation services to assist you in expanding your operations here.
Learn more about the essential forms and guidelines to help you get started on your journey in Malaysia’s manufacturing sector.
Company can submit application and track the application status online via MIDA InvestMalaysia portal at investmalaysia.mida.gov.my
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