Remarks of President of the Republic of Indonesia at the Launching of State-Owned Defense Industry Holding, Defend ID, at PT PAL Indonesia, Surabaya, East Java Province, April 20, 2022

Bismillahirrahmanirrahim.

Assalamu’alaikum warahmatullahi wabarakatuh,
Good afternoon,
May peace be upon us all.

Distinguished Ministers of the Indonesia Onward Cabinet; Minister of Defense, Minister of State-Owned Enterprises, Minister of State Secretary in attendance;
Distinguished Governor of East Java, members of Regional Leadership Coordination Forum (Forkopimda) in attendance;

Distinguished Commander of the Indonesian National Defense Forces, Army Chief, Air Force Chief, Navy Chief;
Distinguished Vice Minister of Ministry of State-Owned Enterprises, the Commissioners and Board of Directors of State-Owned Enterprises (SOEs);
Ladies and Gentlemen, Esteemed Guests.

We indeed must build self-sufficiency in defense industry, boost national defense industry and to ensure that they are ready to enter a new era of competition and be able to carry out the purpose of defense industry namely protecting our sovereignty, the sovereignty of Indonesia, sovereignty of the Unitary State of the Republic of Indonesia. We must achieve self-sufficiency in defense industry, together. It cannot be done alone or partially. We must strengthen the industry, develop the ecosystem and advance it.

Therefore, I appreciate the establishment of state-owned defense industry holding, namely the Defend ID, which I have been waiting for a long time and I pushed for this project to further consolidate our SOEs in defense industry, strengthen the ecosystem so it can be able to join a healthy and beneficial competition. I take note on the words.

I’ll remember the promise that Defend ID will be on the list of the world’s top 50 defense companies. That’s the first promise.

Second, it will increase local content use, gradually, and lower imports of defense and security equipment (alpalhankam). That is our goals.

I call for a gradual increase in the level of local content of defense products from 41 percent as of today to finally reach 100 percent, gradually. We must be swift, agile, and sharp to seek opportunity, proactive in grasping the opportunity so we can be a part of global supply chain. The goal is really important but we must still prioritize to meet the demand of national market.

Esteemed Guests,

The launching of the state-owned defense industry holding is the first step in transforming national defense industry, developing a strong and modern defense industry ecosystem, materializing a strong and dependent SOEs in defense industry that are able to compete and dominate the national market and also be acknowledged in international or global market.

SOEs in defense industry as the spear of our defense self-sufficiency must master the latest technology and components manufacturing, namely the dual-use technology by establishing global partnership with various sides in transfer of technology. Continuously make innovations and breakthroughs, be it in human resources, raw materials, products, or in business and operational processes. We must excel in every aspect, to be the best.

That concludes my remarks on this auspicious occasion. By saying bismillahirrahmanirrahim, today I hereby announce the launching of state-owned defense industry holding, Defend ID.

I thank you.
Wassalamu’alaikum warahmatullahi wabarakatuh.

(RAS/MMB)