PT Pindad, Indonesia's state-owned defense and manufacturing company, signed a Head of Agreement (HoA) with South Korea’s KG Mobility Corp (8/5). The event, held at PT Pindad’s auditorium in Bandung, was attended by Sigit P. Santosa, the President Director of PT Pindad, and Kwak Jae-sun, Chairman of KG Mobility. This partnership marks a significant development in Indonesia’s pursuit of a self-reliant automotive and electric vehicle industry.

Key Focus Areas of the Partnership

The agreement between PT Pindad and KG Mobility will focus on the joint development and production of vehicles under the National Car Project and electric buses. The collaboration includes crucial aspects such as technology transfer, parts procurement, component development, and after-sales services. Both companies are committed to a long-term partnership that aims to enhance Indonesia’s domestic manufacturing capabilities.

Sigit P. Santosa, President Director of PT Pindad, expressed his appreciation for the strategic cooperation, emphasizing its positive impact on both business and the bilateral relationship between Indonesia and South Korea. “This marks a significant moment in our collaboration and our ongoing commitment to long-term cooperation,” Santosa said.

Technology Transfer and Intellectual Property Rights

An essential part of the agreement involves technology transfer (ToT), which will enable PT Pindad to improve its manufacturing capabilities. Both companies will maintain exclusive licenses to their respective technologies and intellectual property, ensuring the protection of each party’s innovations.

Kwak Jae-sun, Chairman of KG Mobility, shared his optimism about the collaboration. “We are excited about this strategic partnership and look forward to supporting PT Pindad in its development,” he said.

Enhancing Production Capabilities

In addition to technology transfer, the HoA includes a Transfer of Manufacture (ToM) initiative, which is crucial for boosting Indonesia’s production capabilities. This collaboration aims to further strengthen PT Pindad's ability to meet the demand for domestically produced vehicles, including those related to the national car and electric bus projects.

Following the agreement signing, both parties engaged in a discussion session, and KG Mobility visited PT Pindad’s production facilities to reinforce their commitment to the partnership.

PHOTO: PINDAD

This article was created with AI assistance.