He said Malaysia has strengths in developing software, integrated circuits, and various IT components.

“Our local firms like CTRM (Composites Technology Research Malaysia Sdn Bhd) in Melaka are already in the global supply chain for aircraft parts.

“Some local companies can already produce bullets, flare systems for aircraft and ground vehicles, and have even proposed making their own 105mm artillery guns.

“This shows we’re shifting from being mere agents to recognised component manufacturers,” he told reporters after launching the ministry’s pavilion at the Defence Services Asia (DSA) exhibition and National Security (Natsec ) Asia 2026 trade show here today.

Khaled said the ministry now requires 30% local components in defence asset procurements, giving local innovators a real chance to showcase their capabilities.

At the DSA-Natsec launch earlier, Prime Minister Anwar Ibrahim urged global defence and aerospace players to strengthen ties with Malaysian manufacturers as the nation grows in high-value global supply chains.