12/09/2025

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FRIDAY | SEPT 12, 2025

Domestic aerospace industry flying high

“Such conditions could damage palms, disrupt harvesting, and affect fruit quality, thereby weighing on production,” he said. Speaking to reporters at the press conference, Chan said the ministry is encouraging farmers, growers and planters across Malaysia to explore new agricultural technologies, including automation, mechanisation and artificial intelligence, to enhance productivity, cost efficiency and overall competitiveness of the sector. – Bernama Raise efficiency and innovate manufacturing, glove makers urged KUALA LUMPUR: Malaysian Rubber Glove Manufacturers Association (Margma) has called on glove manufacturers to focus on increasing efficiency by continuous investments and innovation in manufacturing processes, as well as export market diversification to ensure long-term sustainability. Its president, Oon Kim Hung, said these measures were vital to ensure business survival and that manufacturers should not be overly perturbed by the 19% tariff imposed on their exports to the United States. “That is how you ensure long-term survival, not by relying on tariffs – whether higher or lower,” he said in reference to China’s exports, including gloves, being imposed a markedly higher import tariff of 55%. “Tariffs can be removed tomorrow or increased overnight, as you are dealing with a party that can change the rules at any time,” said Oon, who is also deputy CEO of latex glove manufacturer Oon Corp Resources Sdn Bhd. As such, he stressed that Malaysia’s glove industry does not view the current US tariff as an advantage over competitors such as China and Thailand. He told Bernama this after appearing as a guest on Bernama TV’s The Nation programme on Wednesday. Nevertheless, he acknowledged that Malaysia’s market share of the US glove market had increased to 55% from 46-47% before the tariffs were introduced. Oon said Malaysia’s glove exports to the US had risen since April, mainly due to front-loading of orders ahead of the tariffs. While the US remains Malaysia’s largest glove export destination, other major markets include Germany in the European Union, China, Japan and the United Kingdom. Malaysia’s “big four” glove manufacturers are Top Glove Corporation Bhd, Hartalega Holdings Bhd, Kossan Rubber Industries Bhd and Supermax Corporation Bhd. In April 2025, US President Donald Trump imposed a 24% tariff on Malaysia, later raising it to 25% despite negotiations. This was followed by a 90-day pause before the US eventually agreed to a rollback, reducing tariffs on Malaysian imports to 19%, effective Aug 1. Oon said the full impact of the 19% tariff on Malaysia’s glove exports would only be seen in the next quarter (October December), as the measure only took effect in August. “By the end of the year, we will have a clearer picture of whether the industry remains resilient.” – Bernama

o New investments and business expansions proof that Malaysia is trusted partner in global supply chain, says Naico CEO

Ű BY JOHN GILBERT sunbiz@thesundaily.com

KUALA LUMPUR: The domestic aerospace industry has recorded a 116% in revenue, amounting to RM25.1 billion in 2024, since the end of the Covid-19 pandemic in 2020, gaining positive momentum in terms of new investments and business expansions. These investments are from Composites Technology Research Malaysia Sdn Bhd (CTRM), a subsidiary of DRB Hicom Bhd, Sime Darby Bhd’s (Sime) unit, Sime UMW Aerospace, Asia Digital Engineering, MAB Engineering, Base Maintenance Malaysia, Collins Aerospace, GE Aerospace, Airbus, Boeing and HS Aerosystems. The National Aerospace Industry Corporation Malaysia (Naico Malaysia) CEO Prof. Shamsul Kamar Abu Samah said yesterday these investments are not isolated stories but proof that Malaysia is a trusted partner in the global aerospace supply chain. “To industry, we urge continued investment in technology and the upskilling of the workforce. To academia, we call on you to keep producing talent that not only meets but exceeds global standards. “And to our government partners, let us remain steadfast in ensuring long-term policy consistency – for aerospace is not built in years, but in decades,” he told delegates at the Naico Malaysia 10 Year Anniversary celebration. Shamsul said that, as the third phase of Blueprint 2030 implementation is underway, coupled with the New Industrial Master Plan 2030, Naico Malaysia anticipates that more opportunities will arise from the main aerospace activities, namely aerospace manufacturing and maintenance, repair, and overhaul (MRO). “In addition, the New Space Economy and Low Altitude Economy, which consist of Drone Services and Advanced Air Mobility activities will emerge as the new source of business

Shamsul urges continued investment in technology and upskilling of workers.

CTRM, under DRB-Hicom, continues its leadership in composite manufacturing and further strengthens its role through the acquisition of Spirit AeroSystems Malaysia. The establishment of China’s HS Aerosystems, a key manufacturer of high-value aero-parts, and Nafco’s investment in a new US$40 million (RM169 million) precision fastener and machining facility in Seremban, which reinforces Malaysia’s position within Tier-2 global supply chains. “All these reflect the confidence of both foreign and domestic investors in Malaysia’s growing capabilities as a hub for advanced, high-value aerospace manufacturing in Asia-Pacific,” Tengku Zaful said. The minister said that for the MRO sector, significant capabilities have been bolstered by a series of major developments. These include the opening of Asia Digital Engineering’s 14-bay hangar at KLIA Aeropolis, the launch of Singapore Airlines Engineering Company’s tate-of-the-art hangar facility in Malaysia and the establishment of Airfoil Services Sdn Bhd’s world-first Rolls-Royce turbine blade repair facility. Further new developments include the opening of Aircraft Propeller Service’s first Asia-Pacific specialised MRO facility in Shah Alam, and GE Aerospace’s announced expansion in Subang. “All these developments show how our clear policies and disciplined execution of strategies have developed Malaysia’s ability to compete not only in manufacturing and MRO, but also at the highest level – in advanced engineering design and research,” he said.

activities not only for Malaysia but also for the Southeast Asian region. “The recent announcement of the 13th Malaysia Plan highlighted specific initiatives to develop further unmanned aerial systems and the advanced air mobility sub-sector, including the development of an unmanned valley ecosystem in Malaysia,” Shamsul said “Naico Malaysia, with the support of relevant agencies, academia and industry players, is ready to spearhead this emerging business.” Meanwhile, Investment, Trade and Industry (Miti) Minister Tengku Datuk Seri Zafrul Abdul Aziz explained that the two key government policies guiding the sector – the New Industrial Master Plan 2030 (NIMP 2030) and the Malaysia Aerospace Industry Blueprint 2030 (MAIB 2030) – have placed the country on track to achieve its aerospace ambitions. “The journey of the past decade validates the strength of our strategic planning. From the launch of MAIB 2030 in 2015 to our industrial reform agenda via NIMP 2030, launched just two years ago, our clear policies have continued to attract investments in this sector, reinforcing its credibility and sustaining its growth momentum. “The MAIB 2030 specifically targets to achieve self-reliance and a larger market dominance in aerospace component manufacturing as well as MRO excellence within the region and globally,” he said. Tengku Zafrul said Malaysia’s aerospace landscape has been significantly reshaped in recent years by a wave of new investments. Notable developments include the expansion of Airbus and Boeing’s operations in the country.

Planted oil palm area to hit 5.64 million hectares in 2025 KUALA LUMPUR: The total planted oil palm area is forecast at 5.64 million hectares, slightly up from 5.61 million hectares in 2024, said Plantation and Commodities Deputy Minister Datuk Chan Foong Hin. “Overall, the industry contributed 2.3% to the national gross domestic product, underpinned by a “First, improved labour availability through the government’s approval of a special foreign worker quota will help shorten harvesting intervals, thereby enhancing FFB yields. “Second, stronger fertiliser

“In response, the government has allocated RM100 million in matching grants for 2025 and is proposing a substantial RM1.4 billion five-year replanting fund (2026–2030) to bolster smallholder capacity and ensure our palm oil export base remains resilient and sustainable,” he said. At the same time, Chan said crude palm oil (CPO) production is projected to gain momentum, reaching at least 19.50 million tonnes in 2025, supported by several factors.

smallholder network that cultivates 26.4% of planted oil palm land and supports nearly 450,000 families,” he said during the opening ceremony of Agri Malaysia 2025. However, he noted emerging structural challenges, most notably low replanting rates averaging only 2%, falling short of the 4% annual target, which poses long-term risks to productivity and export continuity.

application in 2024, enabled by higher CPO prices and lower input costs, is expected to boost yields and improve productivity in 2025. “Third, we remain mindful of external risks, especially the current monsoon season, which may cause prolonged flooding in certain areas.

He said this growth is mainly attributed to an increase in immature areas resulting from earlier replanting activities. “In the first half of 2025, the palm oil industry generated RM53.43 billion in exports, a 9.3% surge compared with the same period last year.