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Boeing Commits to Increasing Collaboration with Indonesia

by Editor Asiatoday
January 24, 2025
in Business
Reading Time: 2 mins read
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Boeing Commits to Increasing Collaboration with Indonesia

Boeing office. doc

ASIATODAY.ID, JAKARTA – The world’s largest aircraft manufacturer, Boeing, has been asked to expand collaboration with Indonesia in several sectors, including granting licenses for the aircraft Maintenance, Repair and Overhaul (MRO) industry, as well as building a flight training center in Indonesia.

This was conveyed by the Deputy Minister of Industry of Indonesia, Faisol Riza when receiving a visit from Boeing representatives at the Ministry of Industry Office in Jakarta, on Thursday, January 23 2025. This meeting discussed the partnership between Boeing and the government as well as exploring the development of the aerospace industry.

Deputy Minister Riza said that as an archipelagic country, Indonesia has great potential in the aerospace industry to overcome connectivity and supply chain problems.

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“One of the potential ones is MRO. Indonesia has GMF AeroAsia and Batam AeroTechnic which need increased capabilities to develop their industrial ecosystem. “So Boeing can support it by providing a license to our MRO,” he said.

Apart from that, Indonesia currently needs a flight training center as Boeing has done in India.

“For location, industrial areas in Batam and Bintan could be an option because they are quite strategic,” he added.

The Indonesian MRO industry through GMF AeroAsia and Batam AeroTechnic is proof that Indonesia is capable of becoming a player in the aircraft maintenance sector. However, most commercial aircraft still undergo maintenance abroad, amid limited spare parts.

“Therefore, in order to increase the capabilities of the MRO industry, we consider that there is a need for follow-up action by collaborating between the Ministry of Industry and Boeing in the form of an MoU,” said Riza.

It is hoped that from this MoU, collaboration with Boeing can be wider, starting from knowledge transfer and hiring apprentices, and also includes assistance to Indonesian MRO in improving component quality and human resources.

“In the MRO sector, the issue is that some components and spare parts must be imported from the United States. “This can later be produced in Indonesia alone by involving domestic industries,” said Riza.

Director General of the Metal, Machinery, Transportation Equipment and Electronics Industry, Setia Diarta, said the government is also encouraging Boeing to provide support in efforts to use environmentally friendly fuel to reduce carbon emissions in the aviation industry. Currently, switching 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,” he said.

Meanwhile, President of Boeing Southeast Asia, Penny Burtt said, Boeing is committed to increasing collaboration in the commercial aviation sector with its 75 years of experience in Indonesia.

He also appreciated the meeting with Deputy Minister Riza to hear about the government’s priorities in the field of economic development, industrial policy direction, and development of the aerospace and aviation industry sectors.

“We see that Indonesia has the potential to contribute to the sustainable development of the aviation industry. We are also committed to continuing this collaboration with Indonesian companies in increasing their capabilities and bringing them to become global Boeing component providers,” said Penny. (AT Network)

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