Kuala lumpur: The development of the low altitude economy (LAE) sector is expected to generate spillover effects on the local aerospace industry's supply chain when maintenance, repair, and overhaul (MRO) companies and critical component manufacturers obtain supplies from local suppliers. Deputy Investment, Trade and Industry Minister Sim Tze Tzin said that, apart from swiftly opening up market access for companies, the entry of global industry players would also bring about technology transfer, increase the capabilities of local engineers, and foster expertise in design and maintenance processes.

According to BERNAMA News Agency, Sim emphasized that Malaysia aims to be a key player in the LAE sector. The Ministry of Investment, Trade and Industry (MITI) intends to involve its agencies and industry players in this relatively unexplored field. Malaysia has the opportunity to leverage its advantages as one of the first-mover countries to explore this field. Sim made these remarks while speaking to reporters after launching the Malaysia Aerospace Summit 2026.

Sim stated that the National Aerospace Industry Corporation Malaysia would represent MITI, along with other agencies, in policy formulation. He also encouraged more industry players to join the LAE ecosystem.

Transport Minister Anthony Loke announced that the LAE guidelines are expected to be released by the end of this year. These guidelines will serve as a regulatory, operational, and governance framework to support the incorporation of safe airspace into the economic sector.

Loke noted that the guidelines, developed by the Civil Aviation Authority of Malaysia, are expected to be unveiled at the Transport Expo Asia 2026. He highlighted the significant economic opportunity that LAE presents for Malaysia, as the advanced air mobility and drone technology sectors are rapidly expanding, attracting billions of dollars in global investment.