Ingenieur Vol. 74 Ingenieur Vol 72, April-June 2018 - Page 15

ASIA-PACIFIC The Asia-Pacific is a diverse and dynamic region, with the evolution of aviation both in the past and future but it is not possible to simply characterise it as a whole. Wide variations exist within Southeast Asia with its important global hubs and the influence of deregulation through ASEAN, to North East Asia with its mix of more mature markets and growing low-cost carrier (LCC) presence, all heavily influenced by the burgeoning Chinese aviation markets. Looking at a country level, the diversity of Asia-Pacific is again evident with Thailand, Indonesia, the Philippines and Malaysia at similar levels to Europe in terms of LCC penetration, with China and Japan for example still apparently having room for further development given the right conditions. AEROSPACE INDUSTRY IN MALAYSIA The growth of aerospace industry in Malaysia started back in 1997 with the launching of the National Aerospace Blueprint. This led to the creation of more than 150 companies nationwide which has resulted in revenue of RM9.5 billion, excluding airline activities, over the period 1997 to 2017. This definitely proves that Malaysia has the capability to be a global player in this sector. In 2001, the Malaysian Aerospace Council was established as one of the key recommendations in the National Aerospace Blueprint. The Council’s objectives include the development of the vision, direction and overall development plan for the industry, and to establish policies/guidelines and identify priority areas. In the following years, Malaysia studied the production of aero parts and ventured into the composite manufacturing industry. Four growth areas have been identified:- 1. Maintenance, repair and overhaul (MRO), 2. Parts and components manufacturing, 3. Avionics and System, and 4. Global Centre for Training and Education. The significant growth of the MRO sector was evident in 2004 when Subang airport was transformed into the Malaysia International Aerospace Centre (MIAC). MIAC has become a regional MRO hub where most of the MRO companies are situated. This significant action taken by the Government has led to a massive improvement in the industry through it’s business- friendly policies. The Government provided an incentive package for the aerospace industry during the years 2010 to 2014 and a blanket tax exemption for the import of parts and components for MRO. It has also encouraged MRO companies to outsource the provision of aircraft components, ground systems, simulator and ground support equipment. To ensure the sustainable growth of the aerospace industry, the Malaysian Aerospace Industry Blueprint (MAIB) 2030 was launched during the Langkawi International Maritime & Aerospace Exhibition 2015 (LIMA’15). With this blueprint, Malaysia has set its target to become the No. 1 aerospace nation in Southeast Asia and to have a significant role in the global market by the year 2030. It aims for the MRO sub- sector to achieve 5% of global market share by the year 2015. In recent years, despite the high competition from Singapore, Malaysia has made tremendous growth to become the leading MRO hub in Asia. This can be assured with the AirAsia Group’s venture into the MRO business and the revival of Malaysia Airlines Engineering. Five focus areas are highlighted in the MAIB 2030:- 1. Maintenance, repair and overhaul (MRO), 2. Aero-manufacturing, 3. System Integration, 4. Engineering and design services, and 5. Education and training 13