Indonesia subs contract with Naval Group takes effect

French shipbuilder Naval Group has disclosed the official activation of the contract to construct two Scorpène Evolved submarines with the Indonesia Ministry of Defence.

The submarines are set to be constructed at PT PAL shipyard in Indonesia, facilitated by a technology transfer from the Naval Group.

Under this agreement, the entire process of management, operation, and maintenance of the submarines will be carried out in Indonesia by local personnel.

This arrangement is expected to reinforce Indonesian sovereignty and generate thousands of specialised job opportunities over the long term.

Naval Group chairman and CEO Pierre Eric Pommellet said: “The implementation of this contract is a significant milestone in the strategic alliance between Indonesia and France, which we are honoured to be a part of. Together with our strategic partner PT PAL, we will to support Indonesia in its ambition to build a modern, sovereign, and resilient Indonesian naval industry for the benefit of the Indonesian Navy.”

Since finalising the contract, the Naval Group has been working proactively with Indonesia’s Ministry of Defence and PT PAL to prepare for execution by initiating design work, securing long-lead items, and organising planning processes.

PT PAL’s welders will receive specialised training in France in the coming weeks, while approximately 50 experts from the Naval Group will relocate to Indonesia to train over 400 Indonesian engineers in submarine construction techniques.

On 12 June 2025, several memorandums of understanding (MoU) were signed between the Naval Group and various Indonesian defence industries.

Additionally, an MoU was established with Indonesia’s National Research and Innovation Agency (BRIN) to pursue joint research and development programs in marine defence technologies.

Naval Group launched its subsidiary, PT Naval Group Nusantara, on 1 July , as part of its commitment to fostering a long-term strategic partnership with Indonesia.

PT PAL president director Dr Kaharuddin Djenod said: The government’s commitment in realizing the independence of the defence industry is also supported by the provision of Government Capital to fully support the whole local production of submarine at PT PAL. In the future, Indonesia is expected to be able to master submarine technology.”

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