Kuala Lumpur, April 17 - In a significant boost to Malaysia’s aerospace industry, the federal government in Putrajaya has approved an allocation of RM16.45 billion ($3.73bln) for the establishment of a helicopter assembly plant at Melaka International Airport in Batu Berendam, as announced by Melaka Chief Minister Datuk Seri Ab Rauf Yusoh. This ambitious project, set to be developed on a 6.88-hectare site, marks a pivotal step toward positioning Melaka as a regional hub for helicopter manufacturing and maintenance, repair, and overhaul (MRO) services. The initiative is expected to transform the state’s economic landscape by creating substantial job opportunities and fostering growth in the aerospace sector, aligning with Malaysia’s broader industrial and economic goals.
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The helicopter assembly plant, spearheaded by Weststar Group, a prominent Malaysian aviation company, is slated for completion within three years. Chief Minister Ab Rauf emphasized the transformative potential of the RM16.45 billion investment, noting that it will “shine new light” on Melaka’s aerospace industry. The state government has pledged its full support to ensure the project’s timely execution, with a focus on leveraging the facility to enhance Melaka’s reputation as a key player in the regional aerospace market. The plant is envisioned to serve as a cornerstone for the production of Leonardo helicopters, following a RM16.5 billion agreement signed in 2024 between Weststar Aviation Sdn Bhd and the Malaysian government to lease 28 helicopters for various agencies, including the armed forces, police, firefighters, maritime enforcement, and the Prime Minister’s Department.
Beyond assembly, the facility is poised to establish Melaka as a regional MRO hub for helicopters, a development that could attract further investment and expertise to the state. This aligns with Malaysia’s strategic push to bolster its aerospace capabilities, capitalizing on the growing demand for aviation services in Southeast Asia. The project is expected to generate significant economic benefits, including the creation of high-skill jobs in aerospace engineering, manufacturing, and related fields. By fostering a localized supply chain and technical expertise, the plant could reduce Malaysia’s reliance on foreign MRO services, enhancing national self-sufficiency in aviation maintenance.
The federal government’s backing of the project, coupled with the Italian government’s reported support for the Leonardo helicopter leasing deal, underscores the international collaboration underpinning this initiative. The Melaka state government is committed to streamlining regulatory and logistical processes to ensure the project’s success, with Chief Minister Ab Rauf highlighting its potential to elevate Melaka’s global standing in the aerospace industry. As construction progresses over the next three years, the helicopter assembly plant is set to become a landmark achievement, driving economic growth and positioning Melaka as a vital node in Malaysia’s industrial future.