MIDA Welcomes More OEMs, Tier 1 Firms To Aerospace Sector
29 Nov 2017
The Malaysian Investment Development Authority (MIDA) welcomes more original equipment manufacturers (OEMs) and Tier 1 companies to be involved in the aerospace industry, said its Chief Executive Officer, Datuk Azman Mahmud.
He said Malaysia’s aerospace sector has tremendous opportunities and has been identified as a strategic industry under the Malaysian Aerospace Blueprint and 11th Malaysia Plan.
“Hence, MIDA welcomes more OEMs and Tier 1 companies to be involved in the industry. To develop the aerospace industry we need to create a strong ecosystem spearheaded by major aviation companies,” he said at the ceremony to deliver the first fan case produced for Rolls-Royce by UMW Holdings Bhd’s unit, UMW Aerospace Sdn Bhd, in Serendah, Selangor.
He said UMW Aerospace aimed to achieve full-production capacity of 250 cases annually in 2020. The engine fan casing, one of the largest and most complex parts of the engine to manufacture, would bring along many spill-over effects, said Azman.
“We are excited that this project will provide 166 high-income job opportunities for Malaysians, whereby the local workforce will be able to migrate to higher value manufacturing in precision machining and assembly of aerospace parts,” he said.
Presently, Malaysia is home to 66 companies involved in maintenance, repair and overhaul (MRO) activities, 33 in aero-manufacturing, 25 in education and training, 11 in systems & integration as well as engineering & design.
In addition to UMW, local players like SME Aerospace, CTRM Aero Composite, Sepang Aircraft Engineering, Airod and Malaysian Aerospace Engineering had demonstrated their capabilities in meeting stringent demand of the OEMs and thus are successfully involved in the global supply chain.
The industry is projected to contribute revenue of RM20.4 billion for MRO, RM21.2 billion for aero-manufacturing and RM13.6 billion for engineering and design services by 2030, he added.
Source: Bernama
