Airbus considers investment for a new FAL in Malaysia


Kuala Lumpur - Malaysia is discussing whether the country could build its own Airbus final assembly line at Negeri Sembilan. Airbus has agreed in principle to attend feasibility research for an investment to build a final assembly line (FAL) in the country.

The agreement was reached between Airbus and AirAsia, one of the largest customers of the European aircraft manufacturer in Asia. The Malaysian low-cost operator recently was in talks with Airbus for 100 Airbus A330neo at Farnborough Airshow.

The state government is deeply grateful to Tan Sri Tony Fernandes (AirAsia Group Chief Executive Officer) in sparking Airbus’ interest to consider opening the FAL facility at the proposed aviation hub to be developed in Labu near here,
said Dr. Mohamad Rafie Abd Malek, State Investment, and Human Capital Committee Chairman.

In a letter of confirmation dated July 15, Airbus has confirmed, the feasibility study within 18 months. It deals with a detailed analysis of technical, financial and marketing issues and the long-term prospects of such a project.

Maintenance issues, suppliers, training, data processing and potential industrial collaboration will also be assessed.

If Airbus agrees, Negeri Sembilan will be Airbus’ fifth FAL facility, after Toulouse, France; Hamburg, Germany; Alabama, the US; and Tianjin, China.