BUTTERWORTH - Australian aircraft maintenance, repair and overhaul (MRO) company TAE Aerospace is expanding its presence in Malaysia by positioning the country as a regional aerospace training and maintenance hub.
The move forms part of the company’s broader regional expansion strategy and is expected to create new opportunities for Malaysian aerospace workers, particularly retiring Royal Malaysian Air Force (RMAF) personnel seeking to continue their careers in the aviation industry after military service.
TAE Aerospace identified Malaysia as a key pillar of its long-term regional plans, citing the country’s strategic location, supportive aerospace policies and skilled workforce as major advantages. The expansion is also expected to support Malaysia’s aspirations of strengthening its position as a regional aerospace centre.
TAE Aerospace Malaysia Head Raymond Bissett said Malaysia’s geographical location at the heart of Asia makes it an ideal base for serving regional markets.
“Malaysia is located at the centre of this region and the countries targeted for our business expansion are also within the same area.
“From TAE Aerospace’s perspective, Malaysia is a highly suitable location to serve as our operational and growth base in Asia,” he said during a media visit organised by the Australian High Commission at the RMAF Base, here.
Bissett said the Malaysian government’s continued commitment to developing the aerospace sector had played an important role in encouraging TAE Aerospace to invest further in the country.
According to him, the company plans to employ approximately 50 Malaysians as it expands its training and maintenance operations, with Malaysia serving as its primary regional base.
“I see our workforce coming from Malaysians. As TAE’s operations in Australia continue to grow, qualified local employees will also have the opportunity to work and further their training in Australia.
“In the long term, we want to establish Malaysia as the training and maintenance hub for this region,” he added.
The company’s expansion also aligns with efforts to retain highly specialised technical expertise within the aerospace sector by creating employment pathways for retiring military personnel.
TAE Aerospace has signed a memorandum of understanding (MoU) with Perbadanan Hal Ehwal Bekas Angkatan Tentera (Perhebat) to support the transition of former armed forces personnel into aerospace-related careers.
Bissett said the initiative ensures valuable technical skills acquired during military service are not lost after retirement.
“One of the tradesmen here has been trained to fix jet engines. Isn't it sad if that person is driving e-hailing or working as a waiter after he leaves? Perhebat wants to stop that. That is a Malaysian government initiative.
“Many retiring RMAF personnel already possess technical competencies that place them close to the Certificate IV in Aeroskills standard required by the company, making workforce development more efficient,” he said.
The first batch of participants includes RMAF Warrant Officer II Mohd Zabidi Zainal and Warrant Officer II Muhammad Zafifi Ilyas, both of whom have spent nearly 21 years serving in the military aviation sector.
For Zabidi, the transition allows him to continue working in a field he knows best.
“I have been used to this field for almost 21 years. It would not make sense for me to go and build houses. So I came back here, to my original field and I will maintain the same kind of work.
“In the air force, I was categorised under I-Level (Intermediate Level). I was an engine bay supervisor. At TAE, we do depot level, so I need to learn a little bit more. But the rest is the same,” he said.
Meanwhile, Zafifi described the opportunity as an important milestone as he prepares to leave military service.
“I am grateful because I have been given the opportunity and I can already see my path after becoming a civilian.
“This is my career development. We come from the same background, from I-Level and now we are given the opportunity to maintain aircraft parts at D-Level, or depot level. This is knowledge I may not get anywhere else,” he said.
Beyond workforce development, TAE Aerospace is planning substantial investment in Malaysia, with Bissett revealing that the company expects to invest around A$50 million in its first year and approximately A$100 million in the second year through capital transfer and physical infrastructure investments.
The company ultimately aims to position Malaysia as its regional hub for military engine maintenance while also supporting civilian engine contracts across Southeast Asia.
Bissett also noted that Malaysia’s location provides direct access to key markets including Indonesia, Vietnam and Thailand, while also offering opportunities in the Philippines, India and Taiwan.
“The difference is the freight costs will come down, the turnaround times will improve and because of that, the business volume that we get should be greater.
“Malaysia’s regulatory environment, safety standards, strong bilateral ties with Australia and established industrial capabilities made it an attractive destination for long-term aerospace investment,” he said.
For Malaysia, the initiative represents more than an investment in aerospace infrastructure.
It also reflects a growing collaboration between Malaysia and Australia in workforce development, while ensuring that experienced military personnel can continue contributing their expertise to a high-value industry after retirement.