Malaysia eyes regulations to support growth of next-gen flying vehicle sector

PUTRAJAYA (Sept 17): Malaysia, which is looking to grow its Advanced Air Mobility (AAM) sector — involving next-gen flying vehicles — is working to ensure that proper regulations are in place to govern this emerging space.

Transport Minister Anthony Loke said the low-altitude economy, which includes drones, air taxis and other low-flying aircraft operating below 1,000 metres, is a new and fast-growing area that extends beyond traditional aviation.

Speaking at the launch of the Civil Aviation Authority of Malaysia’s (CAAM) new corporate identity, Loke stressed the need for a regulatory framework that supports innovation — such as smart cities, drone deliveries and smart farming — while maintaining safety. He noted that flexible and agile regulations are crucial to accommodate activities like drone take-offs and landings within urban areas.

“We should look at how to facilitate the growth of the aviation sector entirely, not just in the traditional sense, but in the new environment and [across] new industries that are emerging,” he said. Loke added that CAAM’s role as an aviation sector regulator is to balance between facilitating the sector’s growth and ensuring that safety is not compromised.

To support this, CAAM is developing an Advanced Air Mobility Concept of Operations (ConOps), in collaboration with Futurise Sdn Bhd. Scheduled for release in early 2026, ConOps will outline operational models, airspace use, stakeholder roles and regulatory needs to guide the safe rollout of AAM in Malaysia.

Futurise, appointed as the AAM Steering Committee’s secretariat in December 2024, is working closely with CAAM to help transition the sector from concept to real-world deployment. Futurise was chosen for its experience in regulatory sandboxes for emerging innovations such as drone technology, autonomous vehicles, micro-mobility and online healthcare services.