Selangor Aero Park targets RM1b in investments by 2027

13 Aug 2026, 4:27 AM
Selangor Aero Park targets RM1b in investments by 2027
Selangor Aero Park targets RM1b in investments by 2027

SHAH ALAM, Aug 13 — Selangor Aero Park@KLIA Aeropolis (SAP) is expected to attract up to RM1 billion in investments in 2027, driven by growing interest from local and international aerospace industry players, the Selangor State Legislative Assembly heard here today.

State executive councillor for investment, trade and mobility Ng Sze Han said investment momentum is expected to increase further as global geopolitical conditions improve and the regional aerospace industry grows.

“Based on current progress, the value of investments expected to be realised in 2027 is estimated to reach RM1 billion,” he said in response to Balakong assemblyman Ong Chun Wei on SAP’s progress and projected investments.

Ng said SAP has attracted interest from local and international aerospace companies, including those involved in maintenance, repair and overhaul (MRO), manufacturing, logistics and air cargo, and research and development.

According to him, infrastructure development for SAP’s first phase, spanning about 81ha, will be completed by the second quarter of 2027.

“As of July 20, 2026, earthworks for the first phase have been completed, while infrastructure development (progress) has reached 48 per cent.”

Of the 81ha, Ng said 40ha has been allocated to GE Aerospace to build an aircraft engine MRO facility, while the remaining area is under technical and commercial negotiations with several aerospace industry players to build facilities including Centralised Labour Quarters (CLQ) and commercial lots to support the SAP ecosystem.

“Development will be carried out in stages based on market demand and investment commitments from prospective tenants and investors,” Ng said.

SAP is a Selangor government-led aerospace project in Sepang, jointly developed by Menteri Besar Selangor (Incorporation), or MBI, and Malaysia Airports Holdings Bhd (MAHB).

The groundbreaking ceremony took place on June 5 last year.

SAP is part of the Malaysian Aerospace Industry Blueprint 2030’s vision to generate RM55.2 billion in annual aerospace revenue, and has a potential gross development value (GDV) of RM2.3 billion.

Meanwhile, Ng said the aerospace sector involves stringent technical and regulatory requirements, with the investments or agreements between investors and asset owners typically taking two to three years to finalise, but added that Selangor is optimistic about SAP’s investment prospects as the regional aerospace industry continues to expand.

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