Industry Minister Confident Indonesia Will Become World's Fourth Largest Aviation Market by 2030

Industry Minister Agus Gumiwang Kartasasmita projects that Indonesia will become the fourth largest aviation market in the world by 2030, in line with the highly promising global aircraft market.

Data from McKinsey indicates that the total global aircraft orders reached a record high in 2024, amounting to 15,700 aircraft.

“According to the International Air Transport Association (IATA), Indonesia is projected to become the fourth largest aviation market in the world by 2030. So, not long from now, we will become the fourth largest aviation industry market in the world,” said Agus Gumiwang in Jakarta on Wednesday, 6 May 2026.

Additionally, data from the International Civil Aviation Organization shows that the number of domestic flights and passengers in Indonesia will increase significantly, reaching around 7.4 million flights with prospects of nearly 690 million passengers by 2045.

“Therefore, through this Joint Declaration of Intent (JDI), the government hopes to build strong collaboration that not only produces a strategic framework but also brings about real technology transfer and an increase in local content in the aircraft manufacturing industry,” he stated.

Furthermore, the JDI between the Ministry of National Development Planning/National Development Planning Agency (PPN/Bappenas) and aircraft manufacturer Airbus is expected to strengthen human resource capacity in the aerospace technology sector.

This aligns with the enhancement of maintenance, repair, and overhaul (MRO) systems, and the increase in Indonesia’s role in the global aerospace supply chain.

For information, the Ministry of PPN/Bappenas signed the Joint Declaration of Intent between Bappenas and Airbus on Wednesday, 6 May 2026. The Minister of PPN/Head of Bappenas, Rachmat Pambudy, emphasised that as an archipelagic nation, Indonesia relies heavily on air connectivity to support economic growth, development equity, and public mobility.

Technological innovation and operational efficiency of aircraft are considered key factors in addressing these needs. Rachmat also stressed that the cooperation must go beyond mere aircraft procurement.

According to him, strengthening the national aerospace ecosystem encompasses human resource development, MRO, and increasing domestic industry capacity so that Indonesia is not only a market but also a centre for regional aerospace industry growth.