Northwest Aerospace News Issue No. 26 April | May 2022 | Page 46

The Southeast Asia aerospace sector has witnessed rapid growth over the past decade , driven by rising disposable income , growth in low-cost carriers ( LCCs ), and the liberalization of air traffic through the ASEAN ( Association of Southeast Asian Nations ) Open Skies agreement . Boeing ’ s 2021 Commercial Market Outlook predicts a 5.5 % average annual growth in the region ’ s airline traffic between 2019 and 2040 , the second-fastest in Asia-Pacific after South Asia . As a result , airline fleet size is projected to move up from 1,600 to 4,400 during the same period . This expansion is creating a growing demand for MRO services , supported by largely imported equipment and components , while aerospace manufacturing development remains an investment priority for many ASEAN countries .

The city-state of Singapore is one of the world ’ s leading aerospace MRO hubs and accounts for 10 % of global MRO output . Strong precision engineering and electronics capabilities enable MNCs to manufacture complex components like avionics computers and engine fan blades . In addition , players aim to take advantage of new growth opportunities such as digital services , autonomous technology , and sustainability .
46 NORTHWEST AEROSPACE NEWS