The Selangor State Government in Malaysia held a roundtable on August 27, 2025, to introduce the state as a regional aerospace hub and announce the latest project progress.
Rapid Growth in Aerospace Industry
According to the Malaysian Aerospace Industry Corporation (NAICO), 2024 aerospace industry revenue grew 38.7% year-over-year to 25.1 billion ringgit (approximately 878.5 billion yen), marking the largest growth in the past decade.
Breakdown by sector:
- MRO (Maintenance, Repair, and Operations): 48.6%
- Manufacturing: 32.2%
- Others: 19.2%
Government targets by 2030:
- Aerospace industry revenue: 55.2 billion ringgit (2.2 times current)
- Talent development: Over 32,000 people
Selangor Aero Park (SAP) Development
Government investment company MBI announced progress on the Selangor Aero Park (SAP), part of the KLIA Aeropolis project.
SAP's key functions:
- Advanced component manufacturing
- Integrated logistics systems
- Research and development hub
- Talent development center
Investor incentives:
- Efficient approval procedures
- License fee exemptions
- Investment tax deductions
Asia-Pacific Growth Opportunities
NAICO emphasized Malaysia's supply chain's close connections with the US, Europe, and Middle East. Particularly in the Asia-Pacific region, MRO demand is expected to expand at an average annual rate of 4.7% through 2034, creating significant business opportunities for Malaysia.
Selangor Aerospace Summit 2025
The "Selangor Aerospace Summit 2025" will be held in Kuala Lumpur in October 2025. This summit aims to:
- Provide a platform for business exchange and knowledge sharing
- Promote local SMEs
- Establish Malaysia's recognition as ASEAN's aerospace hub
State Government Commitment
Chief Minister Amirudin Shari stated that with Selangor accounting for approximately 70% of Malaysia's aerospace activities, the aerospace industry will be positioned as a priority sector in the "Second Selangor Plan" scheduled for announcement in 2026. He called for strengthened cooperation with related organizations to address the growing talent demand accompanying industry development.
Malaysia is steadily establishing its position as ASEAN's aerospace industry hub through strategic location, existing infrastructure, and government support.