Flying ASEAN aerospace to new heights

Flying ASEAN aerospace to new heights

Singapore and the rest of South East Asia take on aviation’s challenges in this new decade and beyond.

Bicky Bhangu

President - South East Asia, Pacific and South Korea
Rolls-Royce

In spite of headwinds, ASEAN’s aerospace industry is still one of growth. Singapore remains as the region’s key hub for aviation, MRO, distribution and customer support.

ASEAN, particularly Thailand and Malaysia, is strengthening its capabilities for MRO and aviation supply chains.

The regional demand for aviation is escalating. Half of ASEAN’s member states are among the top drivers of global growth.

Over the coming 10 years, there will be nearly half a billion South East Asians with sufficient disposable income to travel. Air travel around the region is rising at roughly 10 percent a year, with various ASEAN nations experiencing double-digit expansions. Over the past two decades, air transport fleets have nearly quadrupled, from 2,600 aircraft to almost 10,000 and 40 percent of global aircraft deliveries are expected to go into the region and its surrounding areas.

The ASEAN countries are also continuously growing their business and technology capabilities, allowing the industry to flourish. Singapore has a national artificial intelligence (AI) strategy that aims to transform the country in approximately a decade’s time. Malaysia is putting forth its own national AI framework, which will trigger more business adoption and help society experience the benefits of machine learning. Thailand is driving its Thailand 4.0 vision, with the aim of building 100 smart cities in two years’ time. In 2019, Vietnam was the fastest-growing economy with manufacturing as a huge contributor to its GDP, and an expanding digital talent pool and start-up ecosystem. Indonesia is projected for a 5.1 percent GDP growth rate with increasing private consumption, investments and better labour conditions.

But to keep this growth on track, ASEAN has to tackle some predominant concerns. The Singapore Airshow in February 2020 highlights the progress that has been made as well as the challenges ahead. The three main issues are capacity, sustainability and technology. In light of these, how can technology players like Rolls-Royce do their part in meeting these challenges head on?

Building up an ecosystem to boost ASEAN’s production and MRO capabilities

Given the complexity of the solutions and operations in the aerospace industry, no single organisation can solve all the issues alone. Hence, partnerships have become a lynchpin in the strategy to continuously evolve the production and MRO capabilities in ASEAN. One of the most classic examples is our partnership in Singapore with SIA Engineering Company (SIAEC) to build up a powerhouse to repair Trent engines, Singapore Aero Engine Services Private Limited (SAESL). A Trent Centre of Excellence, the facility is further progressing to accelerate engine turnaround time through state-of-the-art assembly, component repair tools and smart manufacturing methods. This will support the demanding production and MRO needs in Singapore and the region.

Across the Causeway, Malaysia plays a huge role in supporting the increase in engine assembly and test.  To support our Seletar Campus facility in Singapore, we partnered with UMW Aerospace Sdn Bhd. The collaboration was a milestone in the company’s transformational journey from an automotive shop and today it is a key player in the aerospace supply chain. The Tier-1 Rolls-Royce supplier builds and delivers Trent 1000 and Trent 7000 engine fan cases to our facilities in Seletar. Our partnerships with Thai companies have also created three main supply chains for our fan blade lining and compressor blades.

With continuous investments and the commitment to grow with our partners, Rolls-Royce is building a regional ecosystem that is future-ready.

Investing in greener power for sustainable growth

While growth of the industry is certainly welcomed, it should not be at the expense of societies and the environment. Today, aerospace contributes to two percent of global CO2 emissions and this is expected to triple by 2050. Flights within Asia Pacific caused the most passenger transportation-related CO2 outputs, reaching 25 percent of the global total. Furthermore, the ASEAN region is one of the most vulnerable to rising sea levels. Countries like Vietnam have an estimated 20 million people who might be affected by high tides while over 10 percent of Thai citizens live on land that could be underwater in 30 years’ time.

As leaders in the technology space, we have a responsibility to keep ahead of these developments. The Singapore Airshow 2020 is fully solar-powered for the first time in its history, signalling the industry’s commitment to be sustainable. We have to ensure that the way we deliver power is for the benefit of societies and communities. Rolls-Royce facilities have installed over 11,700 solar panels, which can save more than 39,000 tons of CO2 over 25 years. That’s equivalent to 1.57 million trees cleaning the air or taking more than 4,700 cars off the road.

Other immediate measures Rolls-Royce is taking is to continuously refine the efficiency of our engines. This reduces carbon footprints while ensuring that we still deliver the best to our customers. Currently, the Rolls-Royce Trent XWB increases fuel efficiency by 15 percent compared to the first Trent engine. In Singapore, our researchers are exploring energy storage solutions for hybrid-electric aircraft which could cut aircraft carbon emissions by as much as 30 percent.

We have also recently invested in electrical test facilities that will chart an innovation path for electrification, and Rolls-Royce has bespoke intelligent microgrid solutions which will help reduce energy consumption for land-based applications.

Raising technology talent today to solve tomorrow’s issues

Even with the advances in technology, we still require the innovative and creative capacities of people for problem-solving. Therefore, Rolls-Royce will continue reaching out to the next generation of pioneers, engineers, scientists, technicians and innovators.

To encourage young talent to pursue their dreams in aerospace and technology, we have programmes that connect with young people across the region. We aim to help them explore the possibilities of STEM and keep that spark alive to become talented professionals of the future. In Singapore, our Rolls-Royce facilities take on 60 internships per year, allowing interns to spend eight months within the company to ready themselves for the challenges ahead.

We are also committed to STEM education, working in partnership with local organisations and communities to ensure positive and long-lasting impact. We also collaborate with Thai Airways on STEM initiatives, encouraging participation among Thai students and giving them a preview of technology in action at our Seletar Campus. We are also offering funding and mentorship to Indonesia’s Universitas Gadjah Mada in support of developing engineering talent through a microgrid project.

It is crucial to invest in our current talent. Tomorrow’s issues require the highest level of skilled professionals. Hence, our work constantly challenges our employees, facilitating their development and training.

Make 2020 a year of growth

By focusing on capacity, sustainability and technology, we can build up capabilities to leverage the emerging opportunities in ASEAN. The answer lies in building up our partnership ecosystems, taking environmental issues seriously and to ensure that we have a next wave of talent for the next wave of challenges.

At Rolls-Royce, we will continue to work and grow with our partners to support the increasing needs of the region. The future of power will be cleaner and greener, and we are ramping up efforts to explore new pathways in hybrid engines and electrification. Our continuing STEM initiatives will play their part in creating a pipeline of highly skilled professionals that will meet the future needs of the aviation industry. Making progress on these paths ahead will allow ASEAN aerospace to flourish even further and achieve greater heights than ever before.