Singapore’s aerospace sector gains altitude as Asia leads global aviation growth

Asia’s aerospace sector is expanding at a pace unmatched by any other region.

Passenger traffic growth is expected to outstrip global averages, driven by rising middle-class travel demand. In the next two decades, nearly half of all new aircraft produced globally are projected to be delivered to the Asia-Pacific region, making it the world’s largest aviation market.

This is leading to stronger demand for maintenance, repair and overhaul (MRO), aftermarket services and aerospace manufacturing, as airlines extend aircraft lifecycles amidst ongoing supply chain constraints.

Singapore sits at the centre of this growth. With a mature advanced manufacturing ecosystem playing host to over 130 aerospace companies across the sector’s value chain, Singapore’s aerospace output exceeded S$18 billion and recorded 19 per cent year-on-year growth in 2024.

Supported by a 22,000-strong workforce, Singapore accounts for about 10 per cent of global MRO output and close to 20 per cent of global engine MRO output. This means that an equivalent of one in 10 aircraft and one in five engines worldwide are serviced here.

Opening the 10^th edition of the Singapore Airshow 2026 in February, Deputy Prime Minister (DPM) and Minister for Trade and Industry Gan Kim Yong highlighted how Singapore offers connectivity, demand density, and ease of doing business globally. It is a leading air hub with Changi Airport connected to more than 170 cities globally, and this will grow to 200 cities by the time Terminal 5 opens in the mid-2030s.

Against this backdrop, aviation and aerospace sectors are twin engines that will fuel Singapore's economic growth. Singapore will strengthen its business environment and industrial ecosystems so that companies can operate, invest, and scale here with confidence over the long term, DPM Gan said. 
 

Boosting capabilities across the value chain in Singapore

At the Singapore Airshow 2026, leading aerospace players and companies new to Singapore announced 16 strategic investments and collaborations that will drive their next phase of growth and deepen Singapore’s leadership in the global aerospace industry.

These projects – supported by EDB – span advanced manufacturing, engine and component MRO, research and innovation, and workforce development.

GE Aerospace announced a US$300 million multi-year investment plan to expand and transform its engine repair operations in Singapore. The investment will focus on applying artificial intelligence (AI), predictive maintenance, automation, and digitalisation to MRO to reduce turnaround times for engine repairs and improve safety, durability, efficiency, and expense outcomes for customers. In line with this, an AI Centre of Excellence will be set up. EDB and GE Aerospace also signed an MoU outlining their intent to begin discussions on developing advanced repair capabilities in Singapore.

French aerospace firm Safran Landing Systems Services Singapore broke ground on a S$22 million expansion of its landing systems MRO facility. The expansion will add around 7,500 square metres to Safran’s existing operations in Loyang, increasing the facility’s overall MRO capacity by roughly 40 per cent. Operated as a joint venture with SIA Engineering Company (SIAEC), the facility is expected to become Safran’s largest landing systems MRO site in Asia-Pacific. The expansion is expected to create around 100 technician and engineer jobs over the next five years.

Business aviation also featured strongly at the Airshow, with WingsOverAsia  breaking ground on a new jet hangar at Seletar Aerospace Park. The facility, developed through a strategic partnership between Singapore’s first full-service private aviation company and Thailand’s MJets Company Limited, will accommodate larger and more advanced aircraft platforms and integrate into MJets’ regional network that spans India, Myanmar, Cambodia, and Thailand. The expansion is expected to create more than 50 high-value roles in areas such as aircraft management, maintenance, repair, design, engineering, and administration.
 

Focusing on next-generation technologies and innovation

Beyond capacity expansion, aerospace companies inked partnerships in Singapore to develop next-generation technologies. 

American aerospace and defence firm RTX and EDB agreed, through multiple MoUs, for RTX businesses – Collins Aerospace and Pratt & Whitney – to beef up new capabilities in Singapore to support next-generation commercial aircraft platforms and meet growing regional demand. RTX will invest over S$139 million to expand its capabilities in Singapore – a move that will create high-value jobs and plug Singapore more deeply into the group's global operations network.

The Civil Aviation Authority of Singapore, EDB, GE Aerospace, and the International Centre for Aviation Innovation signed an MoU to establish the Singapore Partnership for Aviation & Aerospace Research and Capability (SPAARC). This partnership brings together government, industry, and research stakeholders to co-develop next-generation aviation and aerospace technologies to shape the future of flight across multiple domains including AI, airspace modernisation, and aerodynamics. Based in Singapore, the Republic will be a collaborative base for innovation that can be scaled globally.

Rolls-Royce and EDB agreed to explore new growth opportunities across aerospace and power systems, building on Rolls-Royce’s longstanding manufacturing and engine MRO presence in Singapore. The partnership will focus on advanced manufacturing, engineering, and technology capabilities to meet growing global demand. It will also explore the establishment of an AI Centre of Excellence that will unlock the potential of AI development, including the use of agentic AI in Power Systems applications.

In the area of digitalisation and advanced manufacturing, French group Thales and EDB signed three MoUs to deepen collaboration across AI, cybersecurity, cloud computing, and smart manufacturing. Under the agreements, Singapore will become one of three global research and development centres for Thales’ cloud-native inflight entertainment platform, with plans to train close to 40 specialists by 2030 in cloud and data engineering capabilities. Thales will also enhance its Cybersecurity & Digital Identity Manufacturing Competence Centre in Singapore by integrating advanced automation technologies to boost productivity and support higher-value roles for manufacturing of banking cards, identity cards, and passport datapages.

R&D and innovation capabilities will continue to be enhanced, through strategic government-industry-research partnerships. This will allow players to develop differentiated capabilities in emerging technologies and next-generation platforms – including in advanced air mobility, electrification, and the use of automation and AI solutions at scale.
 

Singapore – the ideal partner for aerospace players

Singapore is continuing to strengthen our aerospace ecosystem by deepening our advanced manufacturing capabilities, supplier ecosystem, and local talent pipeline.

This will enable companies to produce critical components in Singapore and deliver quality MRO work for mission-critical aircraft components and systems. Nearly 3,000 precision engineering companies here supply aerospace, aviation, and other sectors with parts, automation solutions, and technical services.

This has yielded productive partnerships – engine manufacturer Pratt & Whitney partnered Singapore enterprise Applied Total Control Treatments to localise a critical process, reducing turnaround times and decreasing reliance on overseas suppliers.
 

OEMs and local suppliers can continue to tap on the Partnerships for Capability Transformation (PACT) scheme for support, when they team up on activities such as supplier development and co-innovation.

Singapore is also putting in place ecosystem-wide and world-class infrastructure for the long-term to handle growing air traffic with greater reliability, precision and safety. This spans programmes to strengthen aviation meteorological capabilities, and advance data-driven and next-generation air traffic management capabilities.

The new Terminal 5 will increase total passenger capacity of Changi Airport to up to 140 million a year.¹ Along with the broader Changi East development, Changi Airport’s cargo handling capacity will go up to 5.4 million tonnes a year, with dedicated industrial land for MRO, aftermarket services, and logistics.

EDB is also ramping up efforts to strengthen Singapore’s aerospace talent pool. This is done by partnering companies to train existing employees, and facilitating collaborations between educational institutions and companies to nurture a pipeline of skilled talent, who can utilise emerging technologies such as AI, augmented reality tools, and robotics.

Recognising that talent remains critical to sustaining sector growth, Singapore Aero Engine Services Private Limited (SAESL) signed two MoUs, one with EDB to set up a training academy, and another with Singapore Polytechnic to match industry requirements with educational pathways. More than 1,000 technicians are expected to be trained at the academy over the next five years to address tightening talent supply and rising engine complexity. The training programme is expected to last 12 months to 18 months. The MoUs come on the back of SAESL’s broader S$242 million expansion and transformation programme.

As EDB's managing director Jermaine Loy highlighted at the Airshow, Singapore will remain “a trusted, reliable and innovative hub from which aerospace companies can access Asia’s growth and build long-term operational certainty”.
 

References:

¹ Changi Airport, Changi Journeys