Thales and Indonesian state-owned company PT Len Industri (PT Len) signed a joint venture (JV) agreement on 30 May 2024. The agreement aims to establish a centre of excellence to address the Indonesian Air Force’s requirements in air operations, including collaboration on air surveillance radars and Command & Control (C2) systems.
“We are pleased to expand our partnership with Thales and explore further collaboration on these new topics that will bring advanced technology and greater value to the Indonesian defence industry. Through this JV, we can bring PT Len products to compete in the global market,” said Bobby Rasyidin, President Director of PT Len Industri and DEFEND ID.
“In the future, PT LEN and Thales will develop defence products and solutions that meet the needs and expectations of our local end users.”
“I am pleased that the partnership between PT Len and Thales has grown from strength to strength, resulting in today’s important milestone that entrenches Thales’ role in the defence ecosystem of Indonesia. We are establishing our Indonesian roots and driving change through training and transfer of knowledge,” said Pascale Sourisse, President & CEO of Thales International.
“This joint venture will bring the best of both worlds, from Thales’ technological expertise, to PT Len’s acumen and knowledge of local defence needs and challenges of our Indonesian end users. I have no doubt that this will help Indonesia strengthen its indigenous capabilities in the defence sector and is the start of many fruitful collaboration opportunities to come in other domains,” she added.
Thales will contribute its expertise in radar technology and knowledge transfer. The joint venture will also focus on Command and Control activities and the development of a national Air Operations Centre. Maintenance, Repair, and Overhaul (MRO) activities will be conducted at PT Len’s site in Subang, West Java.
This agreement represents a further step for the French company in enhancing its local industrial presence by providing localised engineering, maintenance, and services. These are expected to improve responsiveness to end-user requirements and strengthen proximity to Indonesian forces.
Beside aligning with the Indonesian government’s long-term “Made-in-Indonesia” strategy which aims to enhance sovereign capabilities, the agreement will also support DEFEND ID’s objective to increase the use of locally-manufactured components within the industry, facilitating Indonesia’s capability to export globally.
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