The Selangor state through its investment promotion agency, Invest Selangor Berhad (Invest Selangor) has outlined about 30 action plans under a Selangor Aerospace Action Plan, to be carried out by both federal and state governments in order to position the state as a major hub for the aerospace industry in South East Asia, focusing on Maintenance, Repair and Overhaul (MRO).
Selangor has been the main hub for Malaysia’s aerospace and aviation industry as more than 62% of the Malaysian aerospace players are based within the state. The industry is strongly supported by a great demand from players in the Asia-Pacific region, which accounts for around 30% of the global aerospace and aviation activities and products.
Selangor has three main aerospace hubs located in Sepang, Subang and Serendah, housing more than 200 companies and two airports. The state plans to focus on these three existing hubs, as surrounding areas are still under-utilized. The state plans to provide a more conducive ecosystem for investors and envelop a fully integrated logistics system for the aviation and aerospace industry, leveraging IoT (Internet of Things). There are also plans to enhance the use of robotics in the sector.
In line with the action plans, Selangor Berhad and UMW Development Sdn Bhd signed a Memorandum of Understanding (MoU) on 5 March to attract local and international investors to the UMW High Value Manufacturing (HVM) Park in Serendah. The MoU is supposed to facilitate marketing and promotion efforts for the industrial park, and attract high value Manufacturing industries, primarily in aerospace but also including other industries that require advanced Manufacturing processes. UMW Aerospace has a fan case Manufacturing facility for Rolls-Royce in the park, serving as a catalyst to draw in ecosystem stakeholders.
The state government is optimist that a combination of organic and inorganic growth could boost revenue from the aerospace industry in Selangor, in line with the Second Malaysia Aerospace Industry Blueprint 2030, to generate more than MYR 100 billion (USD 24.4 billion) by 2030.
(Sources: The Malaysian Reserve, The Star, The Malay Mail, The Sun Daily)
