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Malaysia bets on MRO growth amid talent drain concerns

8 Oct 2025, 10:00 AM
Malaysia bets on MRO growth amid talent drain concerns
Malaysia bets on MRO growth amid talent drain concerns
Malaysia bets on MRO growth amid talent drain concerns
Malaysia bets on MRO growth amid talent drain concerns
Malaysia bets on MRO growth amid talent drain concerns

KUALA LUMPUR, Oct 8 — Malaysia is banking on the growth of its maintenance, repair, and overhaul (MRO) sector to anchor aerospace revenues, according to industry experts.

PricewaterhouseCoopers (PwC Malaysia) Aviation advisory director Amrul Zeflin Anim said that Malaysia’s aviation workforce faces stronger migration pressures compared to Singapore, Thailand, Indonesia, and Vietnam.

“The underlying problem with training is that everybody spends the least on training. If you look at the budgets, it is right there at the bottom,” he said during the ‘Market Outlook of the Aerospace and Aviation Industry and the Impact and Challenges for Malaysia and Asean Nations’ sharing session held under the Selangor Aerospace Summit (SAS) 2025.

The event is held in conjunction with the Selangor International Business Summit (2025) at the Kuala Lumpur Convention Centre today. The summit runs from today until Saturday (October 11).

“What you will find is that the interest level is quite low. Will money solve all the problems? 

PricewaterhouseCoopers (PwC Malaysia) aviation advisory director Amrul Zeflin Anim speaks during the ‘Market Outlook of the Aerospace and Aviation Industry and the Impact and Challenges for Malaysia and Asean Nations’ sharing session, under the Selangor Aerospace Summit 2025, as part of the Selangor International Business Summit 2025 at the Kuala Lumpur Convention Centre in Kuala Lumpur, on October 8, 2025.

“The highest salaries are not going to solve this. The biggest impact on the aviation industry is the workforce, not so much the numbers, but interests, competencies and training,” Amrul said.

He noted that troubleshooting skills are eroding among younger engineers, as companies increasingly allocate the smallest portion of their budgets to education and training.

He said the industry is also facing talent shortages globally, with supply disruptions and rising operational costs.

Even so, Amrul said that Southeast Asia remains a promising market, with its fleet projected to reach 5,100 aircraft by 2044, or 10.4 per cent of the global total.

Despite workforce concerns, Malaysia’s MRO sector has continued to attract investment. 

He added that global companies still prefer to expand here, given the cheaper operating costs.

In a subsequent sharing session, National Aerospace Industry Corporation (Naico) Malaysia chief executive officer Shamsul Kamar Abu Samah said the government remains focused on MRO, where growth has far outpaced aerospace manufacturing and exports.

“Most of our activities, or revenue, are being contributed by the expansion of MRO activity, including component MRO. 

“The opportunity for aerospace manufacturing is still maintained at the current rate,” he said.

National Aerospace Industry Corporation Malaysia chief executive officer Shamsul Kamar Abu Samah speaks during the ‘Market Outlook of the Aerospace and Aviation Industry and the Impact and Challenges for Malaysia and Asean Nations’ sharing session, under the Selangor Aerospace Summit 2025, as part of the Selangor International Business Summit 2025 at the Kuala Lumpur Convention Centre in Kuala Lumpur, on October 8, 2025.

MRO revenues grew from RM12 billion in 2015 to RM25 billion in 2024, compared with slower gains in manufacturing and exports, which rose from RM4 billion to RM7.84 billion over the same period.

Shamsul said Naico’s strategy is to ensure government support produces measurable returns. 

Initiatives like the Malaysia Aerospace Centre of Excellence (MyAero Centre) are designed to expand capacity, while ensuring the sector delivers sustainable, high-value impact.

“We are not just talking about how to develop people or research and technology. The most important thing is the return on investment to the country,” he said.

The state aerospace summit was held indoors this year, replacing the previous Selangor Aviation Show, which is usually held annually at the Skypark Regional Aviation Centre in Subang.

Participants listen to the talks during the ‘Market Outlook of the Aerospace and Aviation Industry and the Impact and Challenges for Malaysia and Asean Nations’ sharing session, under the Selangor Aerospace Summit 2025, as part of the Selangor International Business Summit 2025 at the Kuala Lumpur Convention Centre in Kuala Lumpur, on October 8, 2025.
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