Malaysia Must Not Just Be a Technology Adopter, But Aspire to Be an Innovator

May I welcome all of you to the MyAERO Summit 2024. This year’s theme, “Fueling Innovation, Igniting Connections: Malaysia Takes Flight,” encapsulates the dynamic and transformative journey we are on in the aerospace industry. This event is a showcase of cutting-edge aerospace technology and innovation, as well as a platform in which industrial leaders come together to shape the future of the industry.

I would like to extend my appreciation to this event’s strategic partners, Invest Selangor Berhad and UMW, for your support.

Latest Trends in the Industry

The global aerospace industry is undergoing significant transformations. We are witnessing the integration of advanced manufacturing technologies, such as additive manufacturing and artificial intelligence, which are revolutionising how aircrafts are designed and built. Sustainable aviation fuels and electrification are also emerging as critical components in the pursuit of lowering carbon emission.

The rise of urban air mobility (UAM) and unmanned aerial systems (UAS) is opening new frontiers, with the potential of reshaping urban transportation and logistics. These trends underscore the importance of innovation and adaptation.

Sustainability in aviation is also a key in this industry. As the industry adapts to global demands for greener practices, trends like sustainable aviation fuels, electrification, and carbon-neutral technologies are shaping the future of flight. Malaysia has a unique opportunity to lead the region in these advancements when we assume the ASEAN Chairmanship in 2025. By leveraging our strength, we can champion sustainable practices, foster regional collaboration, and accelerate the adoption of green technologies across ASEAN. Through initiatives led by NAICO, Malaysia is poised to drive this agenda, ensuring that our aviation industry grows responsibly and secures a sustainable future for all.

As you have probably noticed, the trends I just outlined show that the aerospace industry – the business of making and flying a plane – are changing in ways we had not previously imagined. Malaysia must not just be a technology adopter, we must aspire to be an innovator.

The aerospace industry can be constrained by the fact that there are ultimately only a few global players making most of the planes, and industries in Malaysia, a relatively small country, are vertically linked to the global giants as suppliers.

But that must not stop the Malaysian aerospace industry from horizontally linking with other industries in Malaysia such as the semiconductor industry or those involved in developing materials, specialty chemicals, or critical minerals. There is also much potential to connect the palm oil industry to develop the sustainable aviation fuel industry.

It is through such horizontal linkages that we innovate and create new products, processes or materials with Malaysian intellectual property. Malaysia does not just want to be a manufacturing hub, we aspire to be a nation that creates.

NAICO’s work, including today’s event, is guided by aspirations outlined in the Malaysia Aerospace Industry Blueprint 2030 and the New Industrial Master Plan 2030.

Let me say a few words about the New Industrial Master Plan 2030. Launched on 1 September 2023 by Prime Minister Datuk Seri Anwar Ibrahim, the NIMP 2030, together with the Madani Economy Framework and the National Energy Transition Roadmap (NETR), formed the core of economic policy directions of the Unity Government. Taken together, these documents outlined the once-in-a-generation shifts and changes required of the Malaysian economy. We are very clear that business as usual won’t cut it. We need to do things differently.

By now, judging by the enormous amount of investments, a strong first and second quarter growth rate, a much stronger ringgit, and strong export growth, it is clear the world has taken notice that Malaysia is ready for takeoff.

It is my fervent hope that the Malaysian aerospace industry would take off just as other industries in Malaysia. I wish you well and I wish the Malaysia Aerospace Summit 2024 a great success.

This is my speech delivered at the Launch of Malaysia Aerospace Summit 2024 (MyAERO’24) on August 20, 2024.