Entering the third and final phase of its long-term modernisation programme this year, the Defence Ministry has moved to leverage the role of domestic players in developing the national defence industry, amid the continued shortfall in overseas defence spending.
Wahyu said PT PAL Indonesia would be developing naval vessels, while PT Dirgantara Indonesia made propeller aircraft and helicopters and artillery specialist PT Pindad manufactured land combat vehicles. Minister Prabowo, a one-time rival to President Joko “Jokowi” Widodo, had set out on an extensive trip overseas not long after assuming his post at the start of Jokowi’s second term, presumably to survey the global market for arms.But the onset of the Covid-19 pandemic has further dampened the prospects of arms acquisitions, with experts saying that the country will require substantial foreign loans to support the rest of its modernization drive.
The firm is also developing a medium-altitude long-endurance unmanned aerial vehicle dubbed the Elang Hitam through another consortium involving the Defense Ministry and the Agency for the Assessment and Application of Technology . The company was also instructed to modernise its production line for combat vehicles and small arms production.
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