Turkey and Indonesia Expand Defense Ties With 48 KAAN Fighters and Two Frigates

A major aircraft order anchors a wider defense partnership

Turkey and Indonesia have agreed on the export of 48 KAAN fighter jets and two İstif-class frigates, bringing together military purchases worth more than $10 billion and plans to expand defense manufacturing in Indonesia. The agreements place combat aircraft, warships and industrial cooperation at the center of a growing relationship between the two countries.

The KAAN contract alone is valued at approximately $10 billion, or 8.5 billion euros. It is described as Turkey's largest single defense export contract and the first international sale of the aircraft, which Turkish Aerospace Industries (TAI) is developing as Turkey's first indigenous fifth-generation fighter.

The two frigates represent a further purchase estimated at around $1 billion, although an official price has not been disclosed. Turkish shipbuilding consortium TAIS will lead their construction, with equipment supplied by several major Turkish defense companies.

The agreements were presented as finalized during the International Defense Industry Fair, IDEF 2025, in Istanbul. Their purpose extends beyond supplying finished aircraft and ships: the partnership includes technology transfer, engineering work, manufacturing and eventual aircraft assembly involving Indonesian companies.

Indonesia wants newer aircraft and warships while developing the skills to maintain and manufacture more of its own military equipment. Turkey gains a major customer for some of its most complex defense products and a partner for future development.

The partnership also brings a long delivery horizon. Indonesia's 48 aircraft are to be delivered within 120 months, or 10 years, through a phased schedule with continuing support. KAAN remains a development program, with serial production expected in 2028 and the first deliveries to the Turkish Air Force expected in 2029.

How the agreements came together

A framework agreement signed on June 11, 2025 set out the basis for the KAAN purchase. The commercial contract is placed at IDEF 2025, where Turkey presented the aircraft agreement alongside other major export deals.

The chronology contains a conflicting date: July 26, 2026 is also given for the commercial signing, although the fair took place in 2025 and this article is dated July 29, 2025. The exact commercial signing date therefore needs clarification.

• February 2024: KAAN completed its maiden flight.
• June 11, 2025: Turkey and Indonesia signed the framework agreement for the fighter purchase.
• IDEF 2025: The aircraft and frigate agreements were presented as finalized in Istanbul.
• July 26, 2026: The date also listed for the commercial contract, conflicting with the IDEF 2025 chronology.
• 2028: KAAN serial production is expected to begin.
• 2029: Initial deliveries to the Turkish Air Force are expected.

The signing ceremony was described as attended by Turkish President Recep Tayyip Erdoğan, Indonesian President Prabowo Subianto, senior officials from both countries, and executives from TAI and its Indonesian partner companies.

IDEF 2025 attracted more than 120,000 visitors and hundreds of defense firms from around the world. Turkey announced more than $5.85 billion in export contracts at the fair, spanning fighter jets, frigates, drones and armored vehicles. The relationship between that fair total and the approximately $10 billion KAAN valuation was not explained.

What Indonesia is buying with KAAN

KAAN is designed for both air combat and attacks on ground targets. Its planned missions include air superiority, interception, ground attack and electronic warfare, which involves using electronic systems to interfere with an opponent's ability to detect, communicate or operate effectively.

The aircraft is Turkey's answer to advanced fighters such as the American F-35 and Russian Su-57. The fifth-generation description refers here to a combination of stealth design, integrated sensors and connected combat systems intended to help a pilot detect threats and share information.

KAAN's planned features include a low radar cross section and a reduced infrared signature. In simple terms, its design aims to make it harder for an opponent's radar and heat sensors to detect. An internal weapons bay allows weapons to be carried inside the aircraft, helping preserve its stealth profile.

Supercruise is another planned capability. It means flying faster than sound without using afterburners, the engine system that provides additional thrust. KAAN is also intended to combine domestically developed radar, integrated sensors and avionics assisted by artificial intelligence to help the pilot understand the surrounding situation and make decisions.

Its networked warfare capabilities are intended to connect the aircraft with other platforms and command systems. Compatibility with Turkish munitions and equipment would give it several options for carrying out different missions.

• Stealth design intended to reduce detection by radar and infrared sensors.
• Supercruise capability for sustained supersonic flight without afterburners.
• An internal weapons bay to carry advanced munitions while limiting radar visibility.
• Radar and sensors developed by Turkish firms for detection and targeting.
• Avionics assisted by artificial intelligence to support pilot awareness and decisions.
• Connections with other military platforms and command networks.
• Initial use of engines of the type used in F-16 fighters, followed by plans for a locally produced engine in later batches.

The aircraft's February 2024 maiden flight was an early milestone. Production and delivery plans stretch several years beyond the Indonesian agreement, making the purchase a commitment to a developing platform as well as a future fleet.

Indonesia seeks manufacturing skills alongside aircraft

Indonesian aerospace companies PT Republik Aero Dirgantara (PT RAD) and PT Dirgantara Indonesia (PTDI) are to collaborate with TAI in engineering, manufacturing and eventual assembly of the KAAN fighters. The arrangement aims to build an aerospace infrastructure in Indonesia capable of supporting production, maintenance and future upgrades.

Technology transfer means sharing the knowledge needed to carry out those tasks. In this agreement, the proposed work includes training Indonesian engineers and establishing production lines, giving local companies a larger role than simply receiving completed aircraft.

Haluk Görgün, head of Turkey's Defense Industry Agency, described the agreement in terms of an enduring industrial relationship:

not merely a sale, but a foundation for long-term strategic partnership and joint development of future-generation fighter jets.

Görgün also linked the agreement to government backing and production in the purchasing country:

This is a strategic achievement for Turkish defense, with high-level government support and a focus on sustainable, localized production,

Indonesia's intended benefits include skilled jobs, stronger engineering capabilities and less dependence on foreign suppliers for maintenance and upgrades. The partnership also opens the way for joint research and development, including possible cooperation on sixth-generation fighter projects.

Indonesian Defense Minister Sjafrie Sjamsoeddin connected defense investment with national independence and technological sovereignty. For Indonesia, that ambition means gaining more control over the knowledge and industrial capacity needed to keep military equipment operating.

Turkey also sees commercial value in sharing production work. The agreement gives its defense industry a large export program and a continuing relationship with Indonesian manufacturers. Turkish officials have said Pakistan and Azerbaijan have also expressed interest in KAAN.

Two frigates extend the partnership at sea

The naval contract covers two İstif-class frigates from Turkey's MILGEM, or National Ship, program. It is described as the first export of this class to Indonesia and the third major naval cooperation project between the countries.

Frigates are warships that combine several combat and surveillance systems. The İstif-class design brings together Turkish radar, sonar, combat management systems and anti-ship missiles. Radar helps detect objects above the surface, while sonar supports detection underwater. A combat management system brings information from sensors and weapons together for the crew.

TCG İstanbul, the first ship in the class, entered service with the Turkish Navy in January 2024. More vessels are under construction, making the Indonesian order part of a wider production effort for the latest evolution of the MILGEM program.

TAIS will lead construction, with major contributions from ASELSAN, ROKETSAN, HAVELSAN and TÜBİTAK. The estimated contract value is around $1 billion.

Görgün, speaking as head of Turkey's Defense Industry Agency, praised the design and the Turkish companies supplying its equipment:

the best in their class worldwide, with subsystems developed by leading Turkish defense firms.

Indonesia plans to operate the ships alongside its future Merah Putih-class frigates, which are also being equipped with Turkish weapons and combat systems. Those purchases give Turkish suppliers roles across more than one Indonesian naval program.

The naval relationship already includes two missile-equipped fast attack craft, each 70 meters long, being built for Indonesia by the TAIS consortium. The frigate agreement expands that cooperation from smaller combat vessels to larger warships.

What the purchases mean for Indonesia's forces

Indonesia's air force operates a mixture of aging aircraft from the United States, Russia and Britain, many requiring replacement or upgrades. The KAAN order forms part of a broader effort to modernize that fleet and improve its ability to respond to threats.

A multirole aircraft can carry out several kinds of missions rather than serving a single purpose. KAAN's intended combination of air combat, ground attack and electronic warfare capabilities would give Indonesia more flexibility in how it deploys its future fighters.

Indonesia's navy faces a different but related task: protecting a vast maritime domain amid growing regional security challenges, including disputes in the South China Sea. The frigates are intended to improve naval capability and deterrence, meaning the ability to discourage hostile action by making it more costly.

Indonesia is also diversifying its defense relationships. Its cooperation with Turkey sits alongside partnerships with South Korea, the United States and European countries. The industrial provisions of the Turkish agreements connect that purchasing strategy with the aim of building more domestic capability.

President Prabowo Subianto, who witnessed the signing, tied the spending to national sovereignty:

We must invest in defense to maintain our independence and protect our national interests,

The aircraft agreement positions Indonesia as a prospective early operator of a fifth-generation fighter outside the traditional countries that supply such aircraft. Its immediate industrial importance lies in the proposed participation of Indonesian engineers and manufacturers, while the military benefit depends on the production and delivery program.

Other Southeast Asian countries may respond by accelerating their own military modernization plans. The partnership also presents a model for governments seeking both new equipment and a greater domestic role in producing and supporting it.

A larger export role for Turkey

Turkey's defense exports reached a record $7.15 billion in 2024, an increase of 30% over the previous year. The country describes its defense industry as having an 83% localization rate, reflecting its effort to produce more equipment and components domestically.

The approximately $10 billion KAAN contract is about 1.4 times Turkey's entire $7.15 billion defense export total for 2024. The comparison shows the scale of the aircraft agreement, whose deliveries are spread over a decade, beside a single year's exports.

Turkey has moved over the past two decades from heavy reliance on foreign suppliers toward becoming a net exporter of advanced military technology. Its export portfolio now includes fighter aircraft, warships, drones and armored vehicles, with the Indonesian agreements showcasing its ambitions in complex aircraft and naval construction.

President Erdoğan has made defense exports part of his economic and foreign policy, using industrial cooperation to strengthen diplomatic ties and expand Turkish influence. He presented the Indonesian agreement as evidence of progress in domestic defense technology:

This agreement demonstrates the progress and current level of the national defense industry and will bring prosperity to both Turkey and Indonesia,

Turkey's willingness to offer technology transfer and joint production is central to its appeal to countries seeking alternatives to traditional suppliers in the United States, Europe and Russia. Indonesia's agreement combines that industrial approach with one of the largest orders yet announced for a Turkish defense platform.

The partnership brings together two related goals: Indonesia wants more capable forces and a stronger manufacturing base, while Turkey wants to turn domestic weapons development into sustained exports. The next major milestones identified for KAAN are serial production in 2028 and the start of deliveries to the Turkish Air Force in 2029, alongside the commitment to supply Indonesia's 48 aircraft within 120 months.

Key Points

• Indonesia has agreed to buy 48 KAAN fighters in a contract valued at approximately $10 billion, or 8.5 billion euros, described as Turkey's largest single defense export.
• A separate agreement covers two İstif-class frigates, with an estimated value of around $1 billion and no official price disclosed.
• PT RAD and PTDI are to work with Turkish Aerospace Industries on engineering, manufacturing and eventual aircraft assembly.
• KAAN deliveries to Indonesia are planned within 120 months, with serial production expected in 2028 and initial Turkish Air Force deliveries in 2029.
• TAIS will lead frigate construction, supported by ASELSAN, ROKETSAN, HAVELSAN and TÜBİTAK.
• The commercial signing chronology needs clarification because the listed July 26, 2026 date conflicts with IDEF 2025.
• The agreements combine Indonesian military modernization with Turkey's expansion in defense exports and joint production.