Baykar, a Turkish defense company and UAV (unmanned aerial vehicle) specialist, has officially signed an agreement with Republikorp, an Indonesian defense company, to establish a drone factory in Indonesia through a joint venture.
This move marks the expansion of the UAV industry in the country, with Istanbul-based Baykar bringing its expertise in producing unmanned aircraft, including the Bayraktar TB2. Known for its precision strike capabilities, the drone has previously attracted the interest of the Indonesian military, as stated by Air Force Chief of Staff Mohamad Tony Harjono last August.
Drone Plant Coming to Indonesia
The agreement to build Baykar's drone factory in Indonesia was officially signed during a meeting between Turkish President Recep Tayyip Erdogan and Indonesian Defense Minister Prabowo Subianto at the Bogor Palace. The signing was part of a series of agreements aimed at strengthening economic and defense ties between the two nations.
While details regarding production and the factory’s location have not yet been disclosed, this initiative aligns with Indonesia’s military modernization agenda, which remains a priority despite ongoing budget efficiency measures.
Indonesia-Turkey Strategic Partnership Strengthens
Indonesia was the second stop in Turkish President Recep Tayyip Erdogan’s tour, which also included Malaysia and Pakistan.
In addition to the agreement on building a drone factory, the two countries signed several memorandums of understanding across various sectors, including energy, defense, and trade. Erdogan also reaffirmed Turkey’s commitment to investing in the development of Indonesia’s new capital in Kalimantan.
Indonesia-Turkey relations have grown closer in recent years, particularly in the defense sector. Since signing a cooperation agreement in 2010, both nations have jointly developed a medium tank and strengthened their military industry collaboration.
In 2023, Indonesia purchased 12 Turkish drones worth $300 million as part of its military modernization efforts, further reinforcing their expanding strategic partnership.
Baykar: Leading Turkey’s Defense Industry
Baykar has emerged as a leader in Turkey’s defense and aerospace industry, as well as one of the world’s largest drone exporters. Its flagship combat drone, the Bayraktar TB2, gained global recognition after being deployed in conflicts in Ukraine, Azerbaijan, and North Africa.
To date, the company has exported the TB2 to 34 countries and the Akıncı combat drone to 10 countries.
As Turkey’s largest defense exporter, Baykar recorded $1.8 billion in sales in 2024 and continues to innovate by developing the Kızılelma unmanned fighter jet and the Bayraktar TB3. The latter recently achieved a historic milestone as the first drone to successfully take off and land on a warship with a short runway.
With Turkey dominating 65% of global drone exports, the country is solidifying its position as a UAV industry leader, with Baykar controlling nearly 60% of the market—three times the share of its closest competitor in the United States.
