Indonesia Targets Investment and Technology Transfer Through Shipbuilding Partnership with Russia
Indonesia and Russia are strengthening explorations of cooperation in the shipbuilding industry through the forum ‘Building an Indonesia–Russia Shipbuilding Partnership: Developing Maritime Industrial Cooperation for Indonesia, Russia and the ASEAN Market’, held at the INNOPROM 2026 event in Yekaterinburg, Russia. The forum serves as a platform for industry players from both nations to explore opportunities in investment, technology transfer, human resource development, and joint production to increase the competitiveness of Indonesia’s maritime industry and expand access to the ASEAN market.
The Minister of Industry of the Republic of Indonesia, Agus Gumiwang Kartasasmita, stated that shipbuilding cooperation with Russia presents an opportunity for Indonesia to strengthen its maritime industrial capacity through investment, technology transfer, human resource development, and production collaboration. “These efforts are expected to increase the competitiveness of the national shipbuilding industry while expanding access to the ASEAN market. Indonesia views shipbuilding cooperation with Russia as a strategic step to strengthen national maritime industrial capacity,” Agus said in a statement during the forum in the second week of July 2026.
The forum brought together Indonesian shipbuilding and ship component industry associations with Russian shipyard companies to discuss business collaboration and technological development opportunities. The discussions were led by the Secretary of the Directorate General of Metal, Machinery, Transportation Equipment, and Electronics (ILMATE) of the Indonesian Ministry of Industry, Feby Setyo Hariyono. This forum is a follow-up to the signing of the Memorandum of Understanding (MoU) on Indonesia–Russia shipbuilding cooperation in December 2025, which serves as the basis for developing collaboration in shipbuilding, maritime technology, marine engineering, industrial human resource development, and investment.
As an archipelagic nation with over 17,000 islands, Indonesia has a significant need for a shipbuilding industry capable of supporting logistics distribution, inter-island transport, the fisheries sector, offshore energy activities, and equitable economic development. Conversely, Russia possesses long-standing experience in shipbuilding development, ranging from the design and construction of commercial vessels to propulsion system technology and marine engineering. These characteristics make the two countries’ potential for cooperation highly complementary.
Collaboration opportunities are expected to expand further following the signing of the Indonesia–Eurasian Economic Union Free Trade Agreement (I-EAEU FTA), which is intended to strengthen trade, investment, industrial partnerships, and technology exchange between Indonesia and the member states of the Eurasian Economic Union (EAEU). During the forum, both nations discussed various cooperation opportunities, including the construction of passenger ships and ferries, logistics vessels, fishing boats, patrol boats, offshore support vessels, the development of the ship component industry, and the enhancement of maritime industry workforce competence.
Tri Supondy, Director General of Resilience, Regionality, and International Industrial Access (KPAII) at the Indonesian Ministry of Industry, explained that Indonesia and Russia possess complementary advantages for building a more competitive shipbuilding industry. Indonesia offers a large market and a steadily growing industrial capacity, while Russia provides technological advantages and experience in developing various types of vessels. “We hope this forum results in concrete collaboration among industry players, ranging from technology transfer, human resource development, and investment to joint production, which can strengthen the national shipbuilding industry and expand access to the ASEAN market,” added Tri.
Through this forum, Indonesia reaffirms its commitment to strengthening industrial diplomacy in the maritime sector through mutually beneficial partnerships with Russia. Such collaboration is expected to yield concrete projects capable of accelerating the transformation of the national shipbuilding industry, increasing technological mastery, and strengthening Indonesia’s position as a maritime manufacturing hub serving both the domestic and ASEAN markets.