RI, M`sia studying defense industry cooperation

Antara News, Tuesday, February 16, 2010 21:52 WIB

Jakarta (ANTARA News) - Indonesia and Malaysia are studying the possibility of cooperating in the defense industry field, including joint production, Defense Minister Purnomo Yusgiantoro said.

"Yes, we discussed defense industry cooperation just now particularly with regard to Malaysia`s interest in armored vehicles made by PT Pindad," Purnomo said in reply to ANTARA News` questions here on Tuesday.

Speaking after a ceremony where a Yudha Dharma Utama star was presented to former Malaysian armed forces commander General Tan Abdul Aziz, Purnomo said the two countries also discussed the possiblity of jointly producing defense equipment.

"We will combine what Indonesia can produce or do with what Malaysia can produce or do so that the concept of the cooperation is based on mutual benefit," he said.

General Tan Abdul Aziz said his country was interested in cooperating with Indonesia in defense industry development.

"We are trying to see what the two can do in the cooperation, well, including joint production. We will see the benefit that the two could obtain from the cooperation," he said.

Indonesia and Malaysia have agreed to solidify their cooperation in the defense industry field which was begun in March last year.

The cooperation still required a more systematic study for which each party would form a working group. Members of the Indonesian working group would come from the ministries of defense, finance, state enterprises, industry and research and technology. The working group would study what Malaysia was offering, he said.

Earlier, Malaysia had asked for its defense industry to be able to participate in tenders for maintainance and servicing of Indonesian defense system equipment.

However, Indonesia would still prioritize its own repair and maintainance services for the purpose. Indonesia would prioritize its defense industry and maintainance services for its main weapon system, he said.