SUBANG JAYA: The Malaysia aerospace industry is expected to grow at five per cent in 2018 with aero manufacturing sector contributing 54 per cent of the overall aerospace industry revenue.
International Trade and Industry minister Datuk Seri Mustapa Mohamed said 2017 was a record year for Malaysia's aerospace exports with RM8.49 billion in exports, an increase of 54 per cent compared with 2016, mainly in aerospace parts and components.
“We aim to grow the industry at five per cent this year.
“Malaysia is planning to increase its revenue and job opportunities from the aerospace industry from the current RM13.5 billion in 2017 to RM55 billion in 2030 from 23,000 jobs to 32,000 jobs under the Malaysian Aerospace Industry Blueprint 2030, he said before launching the groundbreaking ceremony here today.
“We also set ourselves up as the turbo prop hub for Malaysia in addition as the aerospace hub for South East Asia. It is a challenge, which is why we welcome such investments from Senior Aerospace UPECA's in order to grow the industry further to achieve our revenue target by 2030,”he added.
UK-based Senior Aerospace UPECA manufactures and assembles build-to-print structural components for the civil aerospace industry in Malaysia and a key supplier to major aerospace companies worldwide.
Mustapa said the maintenance, repair and overhaul (MRO) segment is also expected to continue to expand in the aero engine and components segment with MRO revenue targeted at RM6.5 billion.
“Last year, thirteen aerospace projects were approved with investments of RM649 million, of which 80 per cent were domestic investments. The approved projects are expected to generate an additional 1,021 employment opportunities," he added.
Earlier today, Malaysia Airports Holdings Bhd (MAHB) has welcomed its first global aerospace into its Subang Aerotech Park - Senior Aerospace UPECA, in collaboration with Axis REIT Managers Bhd in a ground-breaking ceremony.
The ceremony marks another milestone for the aerospace industry as Senior Aerospace UPECA becoming the first tenant at the Subang AeroTech Park, to be developed by MAHB on a 60-acre site dedicated for aerospace parts and components manufacturing, engineering services and MRO.
The new investment amounting to RM151 million will include state-of-the-art automation manufacturing and comprehensive special process from Senior Group, boasting of double the special treatments capacity and non-destructive capability compared to the current one.
It is expected 360 highly-skilled engineering and technical personnel will be employed for the new facility.
Construction works is expected to commence in April and operations are set to begin in January 2019.