Indonesia Asks Boeing to Build Factory and Flight Training Center in the Country

January 27, 2025 | 10:36 am

TEMPO.CO, Jakarta - Indonesian Deputy Minister of Industry Faisol Riza asked the American aerospace company, Boeing, to build a component factory in Indonesia. Faisol conveyed the request when hosting Boeing representatives at the Ministry of Industry (Kemenperin) Office in Jakarta, Thursday, January 23, 2025.

Faisol Riza explained that Indonesia as an archipelagic country has great potential in the aerospace industry. This is because currently there is a need to overcome connectivity and supply chain problems.

Therefore, the Deputy Minister of Industry encouraged Boeing to expand collaboration with the government. This expansion includes granting licenses for the aircraft Maintenance, Repair, and Overhaul (MRO) industry and building a flight training center in Indonesia.

"Indonesia has GMF AeroAsia and Batam AeroTechnic which need increased capabilities to develop their industrial ecosystems. Boeing can support by providing a license to our MRO," said Faisol Riza in an official statement received by Tempo, Sunday, January 26, 2025.

The politician from the National Awakening Party (PKB) said that Indonesia currently needs a flight training center like Boeing does in India. Regarding the location, he said that the industrial areas in Batam and Bintan could be options because they are quite strategic.

The Indonesian MRO industry through GMF AeroAsia and Batam AeroTechnic, said Faisal, proves that Indonesia is capable of being a player in the aircraft maintenance sector. However, due to limited spare parts, most commercial aircraft still undergo maintenance abroad.

"Therefore, in order to improve the capabilities of the MRO industry, we consider it necessary to follow up by collaborating between the Ministry of Industry and Boeing in the form of an MoU," said Faisol Riza.

From this MoU, Faisol Riza hopes that collaboration with Boeing can be even broader, starting from knowledge transfer and acceptance of interns, and assistance to Indonesian MRO in improving the quality of components and human resources.

"In the MRO sector, the issue is that some components and spare parts must be imported from the United States. So, can this later be produced in Indonesia by involving domestic industries," said Faisol Riza.

Director General of Metal, Machinery, Transportation Equipment and Electronics Industry of the Ministry of Industry Setia Diarta added that the government is encouraging Boeing to support efforts to use environmentally friendly fuels. This aims to reduce carbon emissions in the aviation industry.

Currently, the transition from fossil fuels to green energy-based fuels for aircraft is still a challenge. "The government is committed to reducing carbon emissions in the air transportation sector, and needs Boeing's support to realize this commitment," said Setia Darta.

Meanwhile, President of Boeing Southeast Asia Penny Burtt stated that Boeing is committed to increasing collaboration in the commercial aviation sector. This commitment is based on 75 years of experience in Indonesia.

"We are also committed to continuing this collaboration with Indonesian companies in increasing their capabilities and making them global Boeing component providers," said Penny, quoted from the press release of the Ministry of Industry.

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