WEDNESDAY, 3 OCTOBER, 2018, KUALA LUMPUR: A Memorandum of Understanding (MoU) was signed between Malaysia Aerospace Industry Association (MAIA) and Indonesia Aircraft Component Manufacturer Association (INACOM) as an initiative for both countries to improve on the aerospace industry development. The MoU was inked at the Kuala Lumpur International Aerospace Business Convention (KLIABC) 2018, the region’s largest B2B gathering for the aerospace industry.
The MoU was signed by the presidents of MAIA and INACOM, Naguib Mohd Nor and Andi Alisjahbana respectively and was witnessed by Malaysia External Trade Development Corporation (MATRADE) representatives. Malaysia and Indonesia are two of the largest and oldest Aerostructures manufacturing industries in SEA. “Both countries have explored both the development of indigenous aircraft programs and through these have established themselves as key producers of aircraft components for companies such as Airbus and Boeing,” said Naguib.
The collaboration is aimed at developing aerospace capabilities and growing business opportunities in the region. The MOU explores specifically human capital development, research & technology, and the sharing of industrial best practices.
Original Equipment Manufacturers like Airbus, Boeing and Rolls Royce have been developing internationalisation strategies over the past few years with Asia Pacific being a focus growth region. SEA specifically has seen a boom in aircraft purchases with companies like Air Asia and Malindo continuously growing their fleets. This MoU aims to provide a platform for aerospace businesses in Malaysia and Indonesia to align their strategies to take advantage of this growing business opportunity.
The support of the MATRADE, also the organiser of the KLIABC 2018, has been vital in catalysing bilateral cooperation between MAIA and INACOM. MAIA and INACOM’s initial engagement was during MATRADE’s delegation visit to Aerospace & Defense Supplier Summit (A&DSS) 2018 in Seattle.
The MoU signing is part of MATRADE’s continuous effort to match-make MAIA with aerospace associations from other part of the world to further grow the sector and its exports. 2017 was a record year for Malaysia’s aerospace exports with RM8.51 billion of exports registered, an increase of 54 per cent compared to 2016. Malaysia’s aerospace main exports are parts & components, particularly for wings, empennages and fuselages of aircraft. Made-in-Malaysia parts & components are of the highest quality, so much so they are being used for the single aisle Airbus A320, Boeing 737 as well as the larger twin aisles Airbus A350 and Boeing 787.