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by AKMAR ANNUAR
MALAYSIA’S aerospace ambitions received a turbo boost with the launch of the 81-hectare Selangor Aero Park at KLIA Aeropolis — a high-stakes push to position the country as ASEAN’s leading hub for air cargo, maintenance, repair and overhaul (MRO) and advanced aviation manufacturing.
The aerospace-focused development is a joint effort by Malaysia Airports Holdings Bhd (MAHB) and Menteri Besar Selangor (Incorporated) (MBI), forming part of a larger 243-hectare plan to be rolled out in phases.
The initial phase comprising 81 hectares is now open to investors, with the remaining 162 hectares to be released progressively beyond 2028, in line with infrastructure readiness and market demand.
The initiative aligns with the Malaysian Aerospace Industry Blueprint 2030, which targets RM55.2 billion in annual revenue and over 32,000 high-income jobs by decade’s end.
It also complements the KLIA Aeropolis masterplan and the New Industrial Master Plan 2030 (NIMP 2030), which emphasises high-value manufacturing and export-led growth.
GE Aerospace has been confirmed as the launch tenant, securing 40.5 hectares to establish a regional MRO facility and engine test cell. Malaysia Airports is also in advanced discussions with several global players, including Airbus and Collins Aerospace.
Malaysia Airports chairman Dr Nungsari Ahmad Radhi said the Aero Park is a long-term strategic commitment that reinforces KLIA’s role as a regional logistics and aviation powerhouse.
“Selangor Aero Park is a catalyst for KLIA Aeropolis’ development into a vibrant aviation and logistics hub. This key milestone opens up multiple opportunities to enhance aviation-related infrastructure and services to meet the evolving needs of the industry and region,” he said during the launch of Selangor Aero Park @ KLIA Aeropolis recently.
He added that the site benefits from a 99-year lease agreement signed with the federal government in 2022, offering long-term security to investors.
Selangor Menteri Besar Datuk Seri Amirudin Shari said the state is building on its position as the centre of Malaysia’s aerospace industry, with over 68% of national aerospace activity already based in Selangor.
“Our target is to push that to 73% by 2030,” he said, adding that the new park is designed to house end-to-end aerospace capabilities including avionics, propulsion systems, high-value electronics and integrated logistics.
He said Selangor Aero Park is also a platform to elevate local small and medium enterprises (SMEs) into global supply chains by supporting their efforts to obtain international certifications and move up the value chain.
“Sustainability has also been built into the infrastructure, from solar-powered lighting and rainwater harvesting to facial recognition surveillance and dedicated staff accommodation,” Amirudin said.
The state will be presenting the Aero Park and broader Aeropolis concept at the upcoming Paris Air Show from June 16 to 22, 2025, to attract international investors and tenants.
“We are proud to say this is the beginning of KLIA’s second phase — not just the airport, but a complete ecosystem that integrates industry and supply chains,” he told The Malaysian Reserve after the launch.
When asked about potential tenants, he said that several MRO firms from Singapore and other countries are already in discussions with the state government. While he could not disclose specific names at this stage, he said tenancy signings are expected in the near future.
To enhance connectivity, the Selangor government is also proposing a new Subang–Klang Valley MRT line to link key logistics points including Subang Airport, Port Klang and the proposed third port on Klang Island.
Transport Minister Anthony Loke, who officiated the launch, said the Aero Park supports the federal government’s ambition to transform KLIA into the region’s leading air cargo and MRO hub.
“We no longer want to be bronze medallists or silver medallists. We want to be the gold medallist. We want to be the top air cargo hub in the ASEAN region.
“Every high-value shipment that takes off from this park carries the potential for skill transfer, R&D, innovation and Malaysian talent at the forefront,” he said.
He also confirmed that Malaysia is working with China to position KLIA as a key node under the Belt and Road Initiative’s Air Silk Road framework, strengthening its role as a primary air cargo gateway between China and Southeast Asia.
With strong state-federal alignment, long-term land tenure, fiscal incentives and talent development programmes, the Selangor Aero Park is expected to become a key driver of Malaysia’s industrial transformation — catalysing investment, high-value job creation and supply chain resilience across the aerospace sector.
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