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Anwar: Boeing aircraft deal to include local production

5 Aug 2025, 8:20 AM
Anwar: Boeing aircraft deal to include local production
Anwar: Boeing aircraft deal to include local production

SHAH ALAM, Aug 5 — Malaysia has selected Boeing for its aircraft procurement plans, with conditions that include local production, while negotiations also involved manufacturers from Brazil and China, said Prime Minister Datuk Seri Anwar Ibrahim.

Speaking during the Prime Minister’s Question Time (PMQT) session today, he said the Malaysian Aviation Group (MAG) was given two main options and ultimately decided on Boeing and Airbus due to their readiness and existing partnerships in Malaysia. 

“Both Boeing and Airbus already have a significant presence here. If you look at Airbus wings, many are produced in Negeri Sembilan, Kulim, and also in Selangor. The same goes for Boeing components. 

“Our condition with Boeing is that part of the production must be done here,” Anwar said in the Dewan Rakyat, stressing that Malaysia’s aircraft purchases are necessary. 

Discussions had also been held with Brazilian and Chinese manufacturers, but Brazil was not ready to meet Malaysia’s needs, while Chinese aircraft were seen as more suitable for domestic use within China.

He was responding to Hulu Langat MP Mohd Sany Hamzan’s supplementary question on the government’s Boeing aircraft purchase, as part of a tariff deal with the United States (US). 

Previously, Investment, Trade, and Industry Minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz said Malaysia had committed to purchasing the 30 Boeing aircraft, valued at US$9.5 billion (RM40.18 billion), as one of the conditions to reduce the US tariff on Malaysian imports.

Anwar added that the acquisition was necessary to meet growing demand for routes to India, China, and Japan, while denying claims that Malaysia was favouring Boeing or the US.

Malaysia has also purchased aircraft from Airbus, as both Malaysia Airlines and AirAsia will require larger planes to support their expanding operations.

The Prime Minister also emphasised that the government would continue to defend national policies, including halal certification and Bumiputera-related provisions, even during trade talks with global powers like the US and China.

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