President of the Republic of Indonesia Launch Logo and Name of DEFEND ID

Surabaya (20/04/2022) – President of the Republic of Indonesia Joko Widodo officially launched the Defense Industry SOEs Holding named DEFEND ID, accompanied by the Indonesian Minister of SOEs Erick Thohir with the Indonesian Minister of Defense Prabowo Subianto on April 20, 2022 at the PT PAL Indonesia Submarine Hangar, Surabaya. This holding is a combination of five SOEs engaged in the defense industry consisting of PT Len Industri (Persero) as the head of DEFEND ID, which consists of PT Pindad, PT Dirgantara Indonesia, PT PAL Indonesia, and PT Dahana.

In his remarks, President Joko Widodo hoped that the merger of these five SOEs could be a leap for the Indonesian defense industry to transform into building a strong and modern defense industry ecosystem.

"We must pursue the independence of the defense industry together, we cannot do it alone. We must strengthen the industry, we must also build the ecosystem, so that it grows and develops more advanced. Therefore I appreciate the establishment of a defense industry holding company called Defend ID which I have been waiting for and pursuing for a long time," said President Joko Widodo.

Minister of SOEs Erick Thohir positively welcomed the launch of the defense industry SOEs holding or Defend ID. Erick encouraged PT Len Industri (Persero) as the holding company to be able to organize the transformation of members of the defense industry holding in order to realize good corporate governance (GCG) and build harmony among holding members in the financial, marketing, operational and portfolio management sectors.

"Holding of the defense industry must be able to strengthen the national defense ecosystem, not only with holding members, but also cooperation with other SOEs and the TNI. As the holding, Len has a major role in realizing integration with the three dimensions of the TNI, both land, sea and air," said Erick.

Meanwhile, Minister of Defense Prabowo hopes that the Holding DEFEND ID will increase domestic components to 50% for key technologies and to become the world's 50th largest industry in the defense industry by 2024.

"With the existence of DEFEND ID, it is hoped that it can accelerate the independence of the Indonesian defense industry in meeting the needs of domestic defense equipment, both in terms of the quantity of human resources and the quality of technology," said Defense Minister Prabowo.

On the sidelines of the launch event, President Director of PT Len Industri (Persero) Bobby Rasyidin said, with the new brand, Bobby is optimistic that DEFEND ID can strengthen its role in building technology independence and the defense industry and as the main driver of the development of the domestic defense industry ecosystem.

"Alpalhankam products must not only meet domestic needs with a good TKDN value, but the holding is also targeted to be included in the top 50 global defense companies," said Bobby.

On this occasion, the president also launched the Missile Fast Ship (KCR 60M) which was worked on by PT PAL Indonesia and inaugurated the Elemented Detonator Factory owned by PT Dahana.

The KCR is a Domestic Procurement project carried out by the Ministry of Defense. In addition, KCR 60m is a state of the art where the design process is carried out by PT PAL Indonesia. Until now, Indonesia has had 4 units of the 60m KCR and has the title of KRI, and 2 units are currently under construction. Meanwhile, Elemented Detonator is part of the detonator (explosive trigger), consisting of delay material to adjust the delay time, and energetic materials as the main filling. This Elemented Detonator factory is the first and only one in Indonesia.

Signing of Cooperation and Global Strategic Partnership

At this launch event, there were also six signings of DEFEND ID collaboration with the Ministry of Defense (Kemhan) and DEFEND ID's global strategic partnership with foreign partners that were multi-year in nature.

First, the signing of the Radar GCI (Ground-controlled Interception) cooperation contract between PT Len Industri and the Defense Facilities Agency (Baranahan) of the Ministry of Defense. Second, the signing of the cooperation between PT Pindad and Baranahan of the Ministry of Defense regarding the production of small-caliber munitions, followed by the signing of the cooperation for the modernization of 12 C130 aircraft between PT Dirgantara Indonesia and the Ministry of Defense. Fourth, the signing of the cooperation to increase the capability and modernization of the Indonesian Navy warships between PT PAL Indonesia and the Ministry of Defense.

Furthermore, the fifth, the signing of a global strategic partnership for joint production of Armored Amphibious Assault Vehicle products between PT Pindad and FNSS Turkey. Sixth, the signing of the HoA (Head of Agreement) on defense electronics technology for the formation of a JV, global supply chain, and national radar industry between PT Len Industri and Thales France.

Present at the launch were the Governor of East Java Khofifah Indar Parawansa, TNI Commander General M. Andika Perkasa, Minister of State Secretary Pratikno, Deputy Minister of SOEs I Pahala Nugraha Mansury Chief of Staff of the Indonesian Army General TNI Dudung Abdurachman, Chief of Staff of the Navy Admiral Yudo Margono, TNI AU Chief of Staff Marshal TNI Fadjar Prasetyo, Board of Commissioners and Directors of BUMN Indhan. (**)