Malaysia aerospace sector poised for 15%-20% growth amid strong aircraft demand
MALAYSIA’s aerospace industry is expected to grow between 15% and 20% as global demand for aircraft remains robust, supported by a substantial order backlog among major manufacturers.
Deputy Investment, Trade and Industry Minister Sim Tze Tzin said the positive outlook reflects continued expansion in the global aerospace market, with aircraft makers ramping up production to meet rising demand from airlines worldwide.
“Today, Malaysia is home to about 250 aerospace companies that bring in RM32.5 billion in revenue.
“This success comes from two main activities: our world-class maintenance and repair hubs that fix top-tier airplane engines, and our advanced factories that build major parts for global brands like Rolls-Royce,” he said at the MyAERO Summit 2026 today.
Sim said Malaysia’s established aerospace ecosystem, coupled with dedicated aerospace parks and government support programmes, has strengthened the country’s position as a regional industry hub.
He said Malaysia was aiming to move beyond its traditional role in the global aerospace supply chain and become a higher-value industry partner.
“Malaysia has long been a trusted participant in the global aerospace supply chain. Our next task is more ambitious: to become an indispensable partner, known not only for quality and reliability, but also for innovation, speed and value creation,” he said.
He added that the government has introduced various initiatives under the New Industrial Master Plan 2030 to support the industry’s growth, including financing schemes, digital integration efforts and technology development programmes.
Sim said industry gatherings such as the MyAERO Summit play an important role in connecting international aerospace players with Malaysian manufacturers, maintenance, repair and overhaul providers, technology firms and training institutions.
“Conversations must lead to contracts; interest must lead to investment; and connections must lead to technology partnerships and stronger regional supply chains,” he said.
