I'm Well! Government Revives Aircraft Industry, Aims For Boeing To Invest In Indonesia

JAKARTA – Fresh air for the national aircraft industry is blowing again after being hit by intense turbulence after the 1998 crisis. Recently, Coordinating Minister for the Economy Airlangga Hartarto emphasized that the government is targeting strategic investment from the giant airline Boeing to invest in Indonesia.

This came after the Coordinating Minister for Airlangga met with Boeing International President Sir Michael Arthur and Boeing Southeast Asia President Alexander C. Feldman in Jakarta earlier this week.

"Boeing provides an opportunity for an offset scheme to purchase aircraft, both civilian and military, which is Boeing's potential to invest in Indonesia", he said in an official statement today, Thursday, June 16.

According to Airlangga, the investment is planned in the form of business activities in the aircraft component manufacturing industry, aircraft maintenance, as well as the establishment of educational institutions for pilots, technicians, and other experts related to the aerospace industry.

"The government is optimistic that all the efforts made will be able to further develop the Indonesian aerospace industry. Moreover, Indonesia is open to investment in the national aerospace industry, both in the form of domestic investment and foreign investment", he said.

In addition, Coordinating Minister Airlangga also said that currently a Maintenance, Repair, and Overhaul (MRO) facility has been built in Batam with Special Economic Zone facilities with adequate infrastructure.

"The Indonesian government appreciates Boeing's support for the national aerospace industry by developing the company in all business lines, especially in the commercial, defense, and service lines, as well as to help with aircraft simulator facilities at our aviation vocational school", he explained.

For information, the aircraft industry is included in the 2022-2024 National Industry Development Priority. This is stated in Presidential Regulation Number 74 of 2022 concerning the National Industrial Policy for 2020-2024.

The industrial sector is considered to have a strategic position considering that Indonesia is an archipelagic country so it can support economic growth, regional development, inter-regional connectivity, and strengthen state sovereignty.

Meanwhile, Boeing International itself is a multinational company originating from the United States and focusing on developing commercial aircraft. Boeing has even opened a subsidiary of PT Boeing Indonesia in Jakarta since mid-2021.