Sabah Sets Sights on Becoming Southeast Asia’s Space Hub

Sabah, Malaysia, is making a bold move to become a pivotal player in the space industry. The state government has launched a one-year feasibility study to explore turning Sabah into an industrial hub for space operations. With its extensive 1,500km shoreline and proximity to the equator, Sabah offers ideal conditions for rocket launches and recovery. The ambitious project could transform the region, attracting global aerospace companies and creating thousands of jobs.

The project, initially floated in 2023, aims to establish a talent pool of aerospace and rocket engineers in Sabah. By attracting international giants like Elon Musk's Space X, the initiative seeks to generate an impressive 200 million ringgit (US$45.5 million) in annual revenue from space launches. The project's scope extends beyond launching rockets; it envisions turning Sabah into Southeast Asia's central hub for satellite assembly and space operations.

Central to this ambitious plan is a memorandum of understanding signed in 2023 between the Sabah state government, Ukraine's Yuzhnoye State Design Office, and local defense firm Sovereign Sengalang. Yuzhnoye, a specialist in space-rocket technology, brings valuable expertise to the table, while Sovereign Sengalang provides local industry knowledge. This partnership is expected to create synergies necessary for developing a robust aerospace sector in Sabah.

The project promises significant economic benefits for the region. It is projected to create 5,000 new jobs, spurring growth across various sectors. Hundreds of new companies are anticipated to emerge, particularly in construction, electronics, and logistics, supporting the burgeoning space industry. These developments align with Chief Minister Hajiji Noor's vision for economic expansion through innovative industrial projects.

Sabah's geographical advantage as a launch site cannot be overstated. Its position near the equator provides optimal conditions for launching satellites into orbit with less energy compared to other locations. This geographic perk could prove instrumental in attracting companies looking for efficient and cost-effective launch solutions.