Indonesia Expands Bali MRO and Aerospace Training Hub

Indonesia Targets Regional MRO Leadership with Bali Aerospace Hub

Mohd Hanif Ismail - : Jan 5, 2026 - : 3:09 pm

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Indonesia is significantly ramping up its aerospace ambitions with the establishment of a dedicated aviation maintenance and training ecosystem in North Bali. This strategic move, spearheaded by the state-owned aerospace champion PT Dirgantara Indonesia (PTDI), seeks to leverage the island’s location along major international flight paths to capture a larger share of the Asia-Pacific maintenance, repair, and overhaul (MRO) market. The initiative centers on Letkol Wisnu Airport in Buleleng, where PTDI plans to integrate an Aircraft Maintenance Training Organisation (AMTO) with full-scale MRO facilities.

Strengthening the Asia-Pacific aerospace supply chain

The development is positioned as a critical step in fortifying the regional aerospace supply chain. By creating a hub in North Bali, PTDI aims to provide comprehensive technical services for aircraft operating throughout central and eastern Indonesia and the wider Oceania region. The project focuses on two primary pillars: infrastructure and human capital. PTDI is currently revitalising the runway and apron at Letkol Wisnu Airport to accommodate fixed-wing aircraft, including the indigenously produced N219. Simultaneously, the AMTO will serve as a centre for knowledge and technology transfer, ensuring a steady pipeline of certified technicians to meet the surging demand for narrow-body aircraft maintenance in the Asia-Pacific.

The project was recently highlighted by Bali Discovery and official statements from PT Dirgantara Indonesia, which underscored the necessity of an integrated ecosystem to compete with established regional hubs. According to Gita Amperiawan, President Director of PTDI, the integration of training and industrial activities is designed to provide high added value to the national economy while attracting foreign investment into Indonesia’s high-tech sectors. This initiative aligns with the central government’s broader vision to transform Bali into a diversified economic powerhouse beyond traditional tourism.

Expansion of MRO capacity at Ngurah Rai

While North Bali focuses on training and regional aircraft, the south of the island is seeing massive commercial expansion. FL Technics Indonesia, a subsidiary of the global Avia Solutions Group, recently inaugurated its 17,000-square-metre MRO facility at I Gusti Ngurah Rai International Airport. This US$15 million (approximately 235 billion Indonesian Rupiah) investment represents the largest hangar in Bali, capable of servicing up to six narrow-body aircraft—such as the Boeing 737 and Airbus A320 families—simultaneously. The facility has already secured US Federal Aviation Administration (FAA) Part-145 certification, with approvals from the Australian Civil Aviation Safety Authority (CASA) and European Union Aviation Safety Agency (EASA) expected in 2025.

Strategic partnerships and regional competition

The Indonesian MRO sector is also seeing increased consolidation through strategic joint ventures. During the 2024 Bali International Airshow, Asia Digital Engineering (ADE), the MRO arm of Capital A, signed a joint investment agreement with Garuda Maintenance Facility (GMF) AeroAsia. This partnership specifically targets the lucrative landing gear services market in Southeast Asia, aiming to reduce the reliance of regional carriers on European or North American facilities. Such collaborations are vital as Indonesia competes with Singapore and Thailand for dominance in a regional MRO market projected to grow significantly as airline fleets expand through the end of the decade.

Towards a national aviation hub

The acceleration of MRO activities in Bali is part of a larger infrastructure push, including the proposed North Bali International Airport project. President Prabowo Subianto recently reaffirmed the government’s commitment to this project, aiming to create a "new Singapore" or "new Hong Kong" in the region. By combining world-class maintenance facilities with strategic airport developments, Indonesia is positioning itself not just as a destination for leisure, but as a primary technical crossroads for the global aerospace industry.