SEPANG: The development of the Selangor Aero Park (SAP) will strengthen Malaysia’s ambition to become a leading air cargo hub in ASEAN, said Transport Minister Anthony Loke.

He said the 600-acre project aligns with the government’s strategy to enhance Kuala Lumpur International Airport (KLIA) as a regional logistics and aerospace centre.

Loke said KLIA holds a unique strategic advantage, with a vast land area of 100 square kilometres and strong connectivity, making it an ideal location for such a development.

“We possess the ingredients and prerequisites unmatched by any other ASEAN country. KLIA has the potential to expand to five runways (beyond the existing three).

“There is no other airport in the region of this scale,” he said at a press conference following the groundbreaking ceremony for SAP earlier today.

Located within the KLIA Aeropolis, SAP carries a gross development value of RM2.3 billion and will be executed in phases to ensure a well-structured, future-ready investment ecosystem.

The project is expected to contribute RM55.2 billion annually to the aerospace industry and create over 32,000 high-income jobs by 2030.

Elaborating further, Loke said Malaysia has also secured support from China to position KLIA as a regional cargo hub for the ASEAN market.

“China has agreed to support KLIA as its cargo gateway for the ASEAN region. This is a highly strategic and significant partnership.

“We also aim to attract investments from aerospace supply chain industries, which includes the production of aerospace components, related technologies, and MRO (maintenance, repair, and overhaul) services,” he said.

He expressed confidence that more private sector players will invest in expanding aircraft MRO operations at KLIA.

To support this vision, he said the Civil Aviation Authority of Malaysia is currently reviewing KLIA’s air traffic control system to address the anticipated increase in both passenger and cargo flight traffic.

“We anticipate a significant increase in air traffic at KLIA, involving both passenger and cargo aircraft. A comprehensive redesign of the air traffic control system is currently underway to enhance operational efficiency and optimise traffic management,” he said.

On a separate matter, Loke added that an announcement on the KLIA Aerotrain project will be made soon.