Malaysia is about to introduce a new Industrial Security and Defense Policy that aims to turn it into a manufacturer of weapons and military equipment, reduce reliance on imports of these items, and stimulate economic growth. practice.
Jane’s magazine quoted Malaysian Defense Minister Ismail Sabri Yaakob as saying that Malaysia is cooperating in technology transfer with several countries. “When this phase is completed, we will be able to produce our own weapons and military equipment,” said Ismail. Earlier, speaking at the opening ceremony of the Langkawi International Aviation and Maritime Exhibition in 2017, Mr. Najib Razak, Prime Minister of Malaysia at that time affirmed that by 2030, CNQP of this country would create about 32,000 jobs. high import with turnover of over 16 billion USD.
It is not easy for Malaysia to have the current development of CNQP. Back in the 90s of the last century, the representative of the country’s CNQP industry were few small companies specialized in the production of general goods, while a few large companies could carry out important work for The military, like building ships or maintaining aircraft, has to depend on civilian businesses. Also at this time, Malaysia Prime Minister Mahathir Mohamad’s Vision 2020 goal of turning Malaysia into a country with advanced technology and complete industrialization by 2020 was kicked off. Along with this goal is the development of the industrial sector in Malaysia, especially CNQP and the space, through technology transfer and programs to allow defense procurement from abroad. The AV8 Gempita armored fighting vehicle is manufactured by Deftech Company of Malaysia in cooperation with FNSS Company of Turkey. Photo: janes.com Vision 2020 is set at a time when Malaysia’s economy is growing well and the country’s education has provided a workforce that is not only proficient in skills, well-educated but also well-managed. high tech. As a result, more and more people want to pursue the path of specialized knowledge and skills, creating a competitive advantage in the labor market. These are ideal conditions for CNQP to develop. An important point that helped promote the CNQP of Malaysia was the change in the strategic view of the Malaysian armed forces. In other words, this force faces a new challenge and needs to change from an army based mainly on the army with the support of coastal and air force, to a modern armed force with naval navigation. The air force and the air force became the servicemen with a larger role. The policies and favorable conditions are like that, but also a lot of difficulties. First, the money spent on technology transfer and equipment maintenance is huge. Second, spending a lot on defense at a time when Malaysia is enjoying peace has caused many people to question. In dealing with these issues, Malaysia chose to focus on domestic CNQP companies and as such, equipment procurement is understood to create more jobs for people, not just national security. To support domestic firms, since 2004, the Malaysian Government has implemented contracts under the “Long Term Guide 5 + 5” to ensure job security for domestic defense contracts. Accordingly, domestic companies can sign a 5-year contract with 2 extended years and another 3-year contract if the company complies with the contract. Following the success, Malaysia will bring its CNQP to a new position with the policy to be implemented. The Malaysia Defense White Paper 2019 affirms that the Malaysian CNQP still focuses on developing human resources, technology, industry, autonomy and international market penetration to further actively contribute to the economy and national capacity. room of this country.
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