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Türkiye signed its largest defense export contract in the republic's history with Indonesia for 48 KAAN fifth-generation fighter aircraft during the 17th International Defense Industry Fair (IDEF 2025) on Saturday, marking a significant breakthrough for the indigenous combat aircraft program.
The signing ceremony was attended by Turkish Presidency of Defense Industries (SSB) head Haluk Gorgun, Indonesian Defense Minister Sjafrie Sjamsoeddin, TAI Board Chairman Omer Cihad Vardan, Deputy National Defense Minister and TAI Vice Chairman Suay Alpay, and TAI General Manager Mehmet Demiroglu.
That makes KAAN not only the only Western fifth-generation fighter aircraft development project that passed the maiden flight milestone, but also the only one that has received an order.
"This is a historic moment within history," said SSB in a social media post on X.
"On 11 June 2025, we signed the Government-to-Government (G2G) Procurement Agreement with the Indonesian Ministry of Defence for cooperation on a total of 48 KAAN National Combat Aircraft. Today, we have officially signed the commercial contract defining the details and technical annexes of this agreement," the statement noted.
"This signature is not merely an export milestone—it marks the beginning of a new era in engineering, production, and technology sharing. The local industrial base to be established in Indonesia will stand as a field-proven reflection of our deep-rooted strategic partnership built on friendship. I am grateful to have witnessed this historic moment, and extend my thanks to all contributors, especially TAI, for their dedicated efforts in this visionary project," the statement added.
The agreement encompasses more than aircraft procurement, including the establishment of local industrial infrastructure in Indonesia and enhanced cooperation in both production and engineering fields between the two nations.
"We aim to support the local industrial infrastructure to be established in Indonesia through this cooperation, and to increase cooperation between the two countries in both production and engineering fields," Gorgun explained.
Indonesian companies PT RAD and PTDI will participate in the project alongside TAI, creating opportunities for technology transfer and joint production capabilities.
"We thank all Indonesian stakeholders, especially PT RAD and PTDI, who will take part in the project together with our TAI company, and hope that the signed contract will lead to beneficial developments for both countries," the SSB head added.
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The contract stipulates delivery completion within 120 months (10 years), representing a significant production commitment for TAI and the Turkish aerospace industry.
The agreement marks the first major international export contract for the KAAN program, demonstrating international confidence in the fifth-generation fighter platform just over one year after its maiden flight.
The KAAN fighter aircraft represents Türkiye's entry into an exclusive group of six countries worldwide capable of developing fifth-generation fighter technology.
The aircraft features indigenous MURAD AESA radar, internal weapon bays, supercruise capability, and compatibility with fully indigenous munitions.
Key technological features include low radar and heat signature design, making it one of the most advanced platforms in its category globally.
Gorgun emphasized the broader implications of the achievement for Turkish defense capabilities and international standing.
"Our fifth-generation aircraft's first contract was signed with our Indonesian brothers. In order for peace to be established in the world, it is essential that we establish sustainable cooperation with friendly and allied countries," he added.
"What we pay attention to is the widespread use of sustainable products that will motivate us. We have reached 83% in localization. These require great effort. We are experiencing the happiness of achieving the goals given to us," Gorgun stated.
The agreement includes provisions for establishing local industrial infrastructure in Indonesia, with Indonesian companies participating in the production and engineering aspects of the program. This technology transfer component represents a significant departure from traditional export-only models, instead creating long-term partnerships that benefit both nations' aerospace capabilities.
"We have proven this in many projects in terms of both infrastructure and human resources. This is a confidence-building approach. We are getting the results of this confidence-building approach together. The first contract of our 5th generation aircraft has been signed with our Indonesian brothers. May it be auspicious," he noted.
Gorgun emphasized the strategic philosophy driving Turkish defense cooperation: "Within the framework of the responsibility and authority given to us by our President, we work on doing the best we can, doing better than what exists in the world, doing it fast, developing cost-effectively, and sharing what we do, what we develop, what we put forward with friendly and allied countries."
Turkish Vice President Cevdet Yilmaz praised the achievement in a social media statement, highlighting the role of political stability and presidential leadership in enabling such long-term projects.
"With the political stability that makes long-term projects possible, the vision and strong leadership of our President Recep Tayyip Erdogan, our defense industry gains new dimensions every year," Yilmaz stated following the contract signing at IDEF 2025.
He emphasized the broader implications for Turkish defense industry development: "With this and similar agreements with our national combat aircraft KAAN agreement with Indonesia, we are expanding the scale and broadening the horizon of our defense industry."
"We thank all individuals and institutions who contributed, especially our Defense Industries Presidency and TAI," he concluded.
When asked about discussions with other countries regarding KAAN sales, Gorgun confirmed ongoing negotiations with multiple potential customers.
"There are many countries. When these mature, we will share them with you," he stated, indicating broader international interest in the fifth-generation fighter program.
Gorgun lastly revealed that TAIS shipyard also signed a significant frigate contract with its Indonesian counterpart for naval forces during the same ceremony.
"Just before this agreement, our TAIS shipyard signed a very important and meaningful frigate contract with its counterpart in Indonesia for naval forces. For this frigate, which is described as the best in its class in the world, with this agreement we made internationally and our desire to work together with subcontractors in Indonesia," he explained.
The naval cooperation involves multiple Turkish defense companies, including Aselsan, Roketsan, Havelsan, TUBITAK SAGE, and TUBITAK BILGEM, along with hundreds of subcontractors contributing to the project.
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