Indonesia has faced difficulties in the past that have hampered its autonomy. It has also led Jakarta to diversify its sources of supply when it is question of military equipment procurement. The reason behind Indonesia’s diversification policy can be traced back to the time when Indonesia was embargoed by the US and its allies (1995-2005) due accusations of human rights violations in East Timor. In consequence, Indonesia was struggling to acquire aircraft spare parts, causing challenges on its Humanitarian Assistance and Disaster Relief (HADR) operations, as well as reportedly impairing its defense equipment operational readiness by 50%. Apart from US sanctions, the United Kingdom also forbade Indonesia from using Scorpion tanks during TNI military operations in Aceh. Since then, Indonesia has been purchasing weapons from suppliers in various countries. In recent times, other countries’ foreign policies remain a looming threat to Indonesia’s modernization strategy; Jakarta’s plan to procure Su-35 combat aircraft has been deterred by the risk of being sanctioned through US CAATSA. It is also important to keep in mind that while political sanctions, such as CAATSA, are enforced to deter and to prevent adversaries from obtaining key weapons systems technology, arms export control – such as ITAR – could be seen as a way not only to maximize export opportunities, but also to ‘control’ allied states and to provide room for political maneuvering at certain times. In other words, restrictions in weapons trade can be perceived as a strategy to minimize the risk of pressuring countries to stop supporting adversaries in times of crisis.
In the meantime, Indonesia has been paying attention for years to the development of its strategic autonomy, focusing on the benefits it could gather from it. Actually, Jakarta could rely on its law on defense industry (UU No.16/2012) to strengthen its strategic autonomy. The law obliges suppliers to provide offset or Transfer of Technology (ToT) programs within defense equipment procurement deals. The recent acquisition of Rafale combat aircraft and the signing of a Memorandum of Understanding (MoU) to procure and domestically develop Scorpene-class submarines open the path for Indonesia to strengthen its strategic autonomy through key technologies. As a matter of fact, Jakarta could opt for the most beneficial offset programs that will not only benefit TNI and domestic defense firms, but also the civil sector, through dual-use technologies.