SINGAPORE—Investment in MRO infrastructure is being targeted by several Asia-Pacific countries looking to attract more aftermarket business in an increasingly competitive region.
During a panel discussing at Aviation Week’s MRO Asia-Pacific on Tuesday (Sept. 24) about regional investments to support MRO demand in the region, representatives from four countries laid out some of their initiatives.
Among the countries looking to grow MRO capability is Australia, and specifically, the state of Queensland in the country’s northeast region. Michele Bauer, deputy director-general of state development, Department of State Development and Infrastructure at the Queensland Government, says the state has had an industry roadmap in place for around 10 years targeting growth in aviation and MRO through attracting private sector investment.
She cites strong MRO activity throughout the state, including Jet Aviation Australia expanding in Cairns in northern Queensland and investments in the base maintenance hangar capabilities of national carrier Qantas in Brisbane.
“We’re keen to see developments occurring around MRO and in areas such as niche manufacturing,” she says. “We do see movement in uncrewed systems to support the civil aviation area, and we are targeting training and capability.” Bauer adds that training specialist Aviation Australia is also playing a big role in skills development through aircraft engineering, pilot, cabin crew and remote pilot training.
Representing the Philippines government, Enrique Antonio Esquivel III, assistant secretary for aviation and airports, Department of Transportation, says the country has looked to grow its MRO footprint outside of landlocked Manila and target growth in other locations. These include the Clark Air Base, located about 100 miles north of metro Manila. It is home to the Clark Civil Aviation Complex, which hosts an international and domestic passenger airport.
It also houses several MROs, including a SIA Engineering Philippines facility, which has grown from one hangar to three. Expected to join them at Clark soon is Lufthansa Technik Philippines, which is looking to lease a hangar there for Airbus A380 MRO services. “They are space-constrained in Manila at this point, so they're looking at leasing a pretty substantial area within the Clark aviation complex to be able to expand their operations in the Philippines,” Esquivel says.
He also pinpoints other repair segments in which the government would like to see growth at Clark. “We would like to see investments in component maintenance and overhaul—stuff like landing gears, wheels and brakes and thrust reversers. The big catch would be an engine shop, but that is for the future.”
Ng Sze Han, executive councillor for investment, trade and mobility, Selangor State Government, says much of its maintenance efforts focus on two major airports within Selangor: Kuala Lumpur International Airport and Subang Airport, the former international airport. The airport in Subang will undergo a regeneration plan to cater for 10 million passengers in next 10 years and will likely start early next year, Han says. He expects this to include MRO facilities as part of the airport’s infrastructure build-up. “With the new MRO facilities setting up in Subang airport, it will be able to cater for the huge demand for aftermarket services,” he says.
For Kuala Lumpur International Airport, Han says there is several thousand unused acres of land adjacent to the site. It plans to convert around 2,000 acres of this into a new aerospace park that will include MRO facilities, training functions and manufacturing facilities for aerospace components. Han says this would target addressing some of the main challenges in the market today. “The major challenges that we see for MRO services now is the shortage of a skilled workforce, and the second, a shortage of the components and parts,” he says.
While a regional hub for aviation, Singapore has also become relatively landlocked owing to the large volumes of industry players, including OEMs, MROs, airline maintenance shops and leasing companies, established there. Tse Yong Lim, senior VP and head of mobility and industrial solutions, Singapore Economic Development Board, acknowledges that land is a precious commodity in Singapore and says it sets aside dedicated space to build facilities at places like Seletar Aerospace Park.
The expansion of Changi Airport through the addition of a fifth terminal, expected by the mid-2030s, also gives more scope for MRO activity as Singapore. It also plans to build the Changi East Industrial Zone. “That will provide even more space and facilities to support aerospace and aftermarket activity,” he says.
It is also targeting continued growth of its engineering talent pipeline by working with schools in Singapore and fostering a culture of innovation throughout its aerospace industry. “Being a very small country, we need to think about doing things differently, and how can we tap into innovation to drive future growth and opportunities,” he says. Our universities and research institutes have built capabilities across various disciplines, in advanced manufacturing, in computing, in materials, and many of these technologies can be applied to serve the aerospace aftermarket sector as well.”
Related Content
