Indonesia has officially launched the construction of two Scorpène Evolved submarines, to be built by State-owned shipping industry PT PAL Indonesia in Surabaya, East Java, marking a significant progress in the country’s quest for defense self-reliance and technological sovereignty.

Under a strategic technology transfer agreement with France’s Naval Group, the submarines will not only be constructed locally, but will also be managed, operated, and maintained entirely by Indonesian personnel, reinforcing the nation's long-term naval autonomy.

"This is a major leap forward in strengthening Indonesia’s defense industrial base. The full-cycle capability − from design to deployment − will remain in Indonesian hands," President Director of PT PAL, Kaharuddin Djenod, said as quoted in a statement on Friday, July 25, 2025.

He added that the project is backed by state capital injections (PMN), further affirming the government’s commitment to a sovereign, modern defense ecosystem.

The initiative is expected to create thousands of high-skilled jobs in Indonesia. More than 400 Indonesian engineers will receive specialized training, including on-the-job programs in France.

In the coming weeks, Indonesian welders from PT PAL will depart for Europe for technical instruction, while around 50 French experts will be stationed in Indonesia to assist with submarine construction.

“This partnership is not just about hardware; it is about empowering Indonesia’s human capital,” Djenod noted.

The project stems from a broader defense cooperation framework between Indonesia and France, which gained momentum following the signing of the submarine contract in late 2024.

As part of this collaboration, Naval Group signed several memoranda of understanding (MoUs) on June 12, 2025, with key Indonesian defense firms, and an additional MoU with Indonesia’s National Research and Innovation Agency (BRIN) for future maritime defense R&D.

To cement its long-term presence in the country, PT Naval Group Nusantara, a local subsidiary of Naval Group, was established on July 1, 2025. The new entity will serve as a platform for continuing industrial and technological cooperation in the defense sector.

“This contract represents a cornerstone in the strategic alliance between France and Indonesia. We are proud to support the Indonesian Navy and the national defense industry through this long-term commitment,” Chairman and CEO of Naval Group, Pierre Eric Pommellet, said.

Submarine sovereignty

The Scorpène Evolved submarines, which are designed for enhanced stealth and endurance, are tailored to Indonesia’s operational environment. With the domestication of submarine technology, Indonesia is moving toward complete mastery of underwater warfare capabilities.

As geopolitical dynamics in the Indo-Pacific continue to shift, this collaboration underscores Indonesia’s ambition to become a maritime power with independent defense production capabilities a vision enshrined in its national strategy.

“This is more than a contract.“It is a partnership built on trust, expertise, and shared vision for a secure maritime future,” Pommellet concluded.