Indonesia-Korea Jet Fighter Joint Production Plan

June 19, 2010

Planned cooperation between Indonesia and South Korea to start a joint project on jet fighter production received strong support from a lawmaker and researcher here on Friday but they warned that it will need to undergo feasibility studies.

“The joint cooperation is good for Indonesia because it will help us revitalize our defense industry.

However it is strongly recommended both countries conduct thorough feasibility study,” Kemal Azis Stamboel, lawmaker from the House of Representatives Commission I overseeing defense and intelligence told The Jakarta Post on Friday.

Kemal added that among points to be looked into in the study would be an assessment of possible future conflict between the two countries.

“This policy applies for all potential partner countries because of course we don’t want to be caught out if it occurs,” he added.

Initiated during a visit to Indonesia by South Korean President Lee Myung-bak last year, both countries are now gearing up to sign a Memorandum of Understanding (MoU) for the fighter production, which will be called “KFX project”.

According to secretary-general of the Defense Ministry Deputy Marshal Eris Haryanto, the MoU is likely to be signed at the end of this year. After the signing, a joint team comprising experts from both countries will be formed.

This team would be tasked with building five prototypes of the aircraft before 2020. After achieving the break even point target of 200 units, the aircraft will be ready for mass production.

Military expert from the Indonesian Institute of Sciences Jaleswari Pramodhawardani said the project offers Indonesia a rare chance to develop its defense industry.

“There is always a risk in everything but in my opinion we should take this risk,” she said.

However, she said the project would cost a huge part of the budget, meaning the Indonesian Military may have to work hard to convince lawmakers to grant funding.

Under the MoU, Indonesia will shoulder 20 percent of the initial budget of US$8 billion, which Kemal described as “reasonable”.

The joint project is widely seen as a pilot project for Indonesian military in revitalizing defense industry. The Indonesian military is now perfecting an draft paper on boosting the country’s defense industry.


C-212 Assembly Set for Indonesian Shift

June 19, 2010

Future assembly of the C-212 light transport is likely to move to Indonesia as part of an Airbus Military initiative to reduce the type’s unit cost and allow its Spanish facilities to be dedicated to producing the larger CN-235 and C-295 models.

“The question is: can we find an industrial arrangement on which we can continue to produce this aircraft in a very competitive way,” says Airbus Military managing director Domingo Ureña.

“We are working with our colleagues in Indonesia to see how we can jointly offer this product to the market,” he reveals. Airbus Military has a long-standing partnership with Indonesian Aerospace on the CN-235, and Ureña says “an agreement has been reached” to extend this to also include assembly of the C-212.

Ureña believes the C-212 can continue to meet requirements for operators in regions such as Asia Pacific, but says: “We need to be able to offer a cheap price. I hope in the short- to medium-term to go back to the market and say that we have the solution.”

Airbus Military is close to concluding a deal with Thailand for an undisclosed number of C-212s configured for fisheries protection duties. The company has also been selected to provide Vietnam with five, although a contract has yet to be signed.

Developed initially for the Spanish air force and first flown in 1971, more than 480 C-212s have been ordered. It is now offered in its -400 production standard, a configuration that is less than 10 years old.

Meanwhile, senior vice-president commercial Antonio Rodriguez-Barberán says Airbus Military is also “starting to consider not a replacement for the C-212, but a re-engineering of the aircraft to make it more modern”.

Airbus Military delivers around 24 CN-235s and C-295s a year from its San Pablo site near Seville, Spain, but has not yet produced the C-212 on its new assembly line.

The company is believed to have initiated early studies on the development of a larger successor for both the CN-235 and C-295, but officially says that it is in no rush to replace the types.

(Source: Flight International)

Barter between Anoa Panser and Malaysian Car

June 19, 2010

On June 09, 2010, Jakarta, Minister of Trade of Indonesia, MS Hidayat, told that thru PT Pindad (Persero) Indonesia has got order from Malaysia to manufacture Anoa panser with the value up to US$ 80 millions. With this order from Malaysia, apparently Indonesian military industries has showed theirs quality indigenous products have been recoginesed by other countries.

However in this offer, there is a condition from Malaysia that Indonesian counterpart must do trade off with Malaysian product, that is a barter agreement about 25% from that total with Malaysian Proton car.

Director General of Transportation and Telematics of Industrial Ministry, Budi Dharmadi informed that his office is calculating the value of the trade off products and sedan cars from Proton will be used as taxi fleet by Indonesian private companies that willingly to acquire those products from Malaysia. Budi said that his office only facilitate that trade off process and the further process will be pure bussiness to bussiness dealing. He added, this trade off will give benefit to both sides, especially for Pindad panser that will gain broad recognition. One of the recognition is from UN peacekeeping mission. Since April 2010, about 13 Anoa pansers has been deployed to Lebanon as armor personnel vehicle of Unifil Indonesian contingent.

Meanwhile, the realization of the agreement is on going discussed.