KUALA LUMPUR: The aerospace industry in Malaysia is projected to contribute a total revenue of RM55.2 billion to the economy by 2030.
From the total revenue, maintenance, repair and overhaul (MRO) would contribute RM20.4 billion, RM13.6 billion for aero-manufacturing and RM13.6 billion for engineering and design services.
International Trade and Industry (MITI) minister, Datuk Seri Mustapa Mohamed said the aerospace industry is a high-value industry in Malaysia's diversified economy.
He said the total revenue generated by the sector currently stood at RM11.8 billion.
Last year, four projects in the aerospace sector were approved with a total investment worth RM5 billion, in which RM4.9 billion was from domestic investment while the remaining RM30.6 billion was from foreign direct investment.
Meanwhile, Malaysia's total trade for aerospace products in 2015 stood at RM14.2 billion.
Mustapa said the export of the country's aerospace products recorded a significant increase of 44.7 per cent from RM2.9 billion in 2014 to RM4.2 billion last year.
The export items include composite parts and components (RM4.07 billion), aerospace communication system and parts and avionics (RM86.8 million), and aircraft propellers and rotors (RM3.1 million).
However, Malaysia's imports fell by 33.5 per cent from RM15.1 billion to RM10 billion within the same period.
"Despite the encouraging increase in exports, the amount of imports is still bigger than our export."
"We need to focus on building the production capacity of our local suppliers, which in turn would help boost our exports and close this trade gap," Mustapa told reporters after launching Malaysia Aerospace Industry Association, here today.