Kuala lumpur: The aerospace and low-altitude economy (LAE) sectors in Malaysia are projected to generate RM100 billion in revenue by 2035, fueled by emerging opportunities in the industry.
According to BERNAMA News Agency, the National Aerospace Industry Corporation Malaysia (NAICO Malaysia) has identified key drivers for this growth. The chief executive officer of NAICO Malaysia, Ir Dr Shamsul Kamar Abu Samah, revealed that Malaysia's aerospace industry had already achieved RM35.2 billion in revenue in 2025, marking an approximately 180 percent increase since 2020.
The aerospace and LAE segments are currently supported by the country's existing capabilities in aerospace manufacturing, maintenance, repair, overhaul (MRO), and systems integration. These capabilities are expected to play a crucial role in driving high-cost, high-value economic activities in Malaysia.
During a panel discussion titled 'Shaping Malaysia's Low Altitude Economy: Building a National LAE Strategy' at the Low Altitude Economy Forum 2026, organized by the Civil Aviation Authority of Malaysia (CAAM), Shamsul Kamar emphasized the ambitious targets for the industry. The aerospace sector is expected to reach RM55.2 billion in revenue by 2030, with potential to exceed RM70 billion.
Shamsul Kamar further explained that if RM30 billion is allocated to the LAE over the next five years and necessary regulatory frameworks are established to overcome existing obstacles, the sector could contribute an additional RM30 billion by 2035. This would bring the total revenue of the aerospace and LAE segments to more than RM100 billion.
To advance the LAE segment, another panellist, Lai Han Sheong, managing director of Beijing-based venture capital firm Future Capital, suggested Malaysia leverage its strengths in electrical and electronics, semiconductors, and electric vehicle assembly. Lai emphasized the importance of positioning Malaysia as ASEAN's testbed for electric vertical take-off and landing (eVTOL) aircraft, attracting manufacturers from the United States, Europe, and China.