Indonesia’s Electronics Specialist and Thales Form Joint Venture to Enhance Indonesian Defense

Jul 2024

PT Len Industri and Thales celebrated a significant milestone in May 2024 with the signing of a joint venture agreement in Jakarta. The ceremony was attended by the Deputy Minister of State-Owned Enterprises (BUMN), the President and CEO of Thales International, and the French Ambassador to Indonesia. The President, Director, and vice president of PT Len Industri and Thales Asia signed the agreement.

Under the joint venture, PT Len Industri and Thales will establish a specialized center of excellence that initially meets the Indonesian Air Force’s operational needs, including collaboration on air surveillance radars and Command & Control (C2) systems. Thales will leverage its extensive radar technology expertise through knowledge transfer. The partnership will also encompass Command and Control operations and the joint development of a national Air Operations Centre. Additionally, Maintenance, Repair, and Overhaul (MRO) services will be conducted at PT Len Industri’s facility in Subang.

The signing of the JV agreement marks a significant stride for Thales in bolstering its presence in the local industrial landscape. The joint venture will expedite responses to end-user needs and enhance proximity to Indonesian forces through localized engineering, maintenance, and service offerings to maximize operational readiness. This initiative aligns with the Indonesian government’s “Made-in-Indonesia” strategy, bolstering sovereign capabilities. Moreover, it supports DEFEND ID’s objective to boost local manufacturing in the defense sector, potentially paving the way for Indonesia to export its capabilities globally.

The joint venture is designed from the outset as a flexible platform capable of expanding into numerous areas in the future, such as Command, Control, Communications, Computers (C4), Intelligence, Surveillance, and Reconnaissance (ISR), Military Satellites, Electronic Warfare, National Data Links, and National Combat Management Systems, among others.

(Source: Thales)

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