President Joko Widodo has wished to relocate PT PINDAD and PT Dirgantara Indonesia (PT DI) factories to Subang, West Java. This was revealed during his visit to the Pindad bullet manufacturer in Turen, Malang, East Java on July 25, 2023. SOEs Minister Erick Thohir explained to the media crew the reasons for the President and the SOEs Ministry wanted to relocate PT PINDAD and PT DI to Subang.
Mr Thohir explained that it would take 3-4 years for the two members of the Defense Industry SOEs holding (DEFEND ID) to be transferred. In the future, Subang will become an industrial center, along with Kertajati Airport, Patimban Port, and several toll roads.
Then what’s the idea of such relocation? The industrial area should become home to the defense industry as DAHANA is already in Subang. So we will then build PT Pindad and PT DI there,” said Mr Thohir.
Separately, the President Director of PT DAHANA Wildan Widarman positively welcomed the plan of relocation of PINDAD and PT DI to Subang. He also said that the Subang area is very strategic, considering the government’s big plan to make the Rebana area (Sumedang, Majalengka, Cirebon, Subang, Indramayu, Kuningan, and Cirebon City) as an industrial center and a source of new economic growth.
“DAHANA itself began to experience rapid development after moving from Tasikmalaya to Subang in 2012. Having a sufficiently large area of ex-PTPN VIII, we can build a new production facility in Subang,” said Mr Widarman.
Prior to moving to Subang, DAHANA occupied land belonging to the Indonesian Air Force adjacent to the Wiriadinata Tasikmalaya Air Force Base. In order to develop the Company’s business, DAHANA required a larger area of land for construction of new production and support facilities.
“In Subang we built the Energetic Material Center. It is an integrated area consisting of the most comprehensive center for research, development and production of high-energy materials in Southeast Asia. Even DAHANA’s Central Management Office (KAMPUS) carries the concept of green building in accordance with GBCI standards,” said Mr Widarman.
The construction of the EMC is the result of a collaboration between SOEs and PT PP (Persero) as the contractor appointed by PT Bina Karya (Persero), PT BNI (Persero) Tbk., and PT Telkom (Persero) Tbk. The EMC area is divided into several zones and home to various production facilities including research and development centers, explosives factories including emulsion factories, detonator factories, DANFO factories, Filling Bomb) which are equipped with laboratories, training centers and other supporting facilities.
Owing to this extensive facilities, DAHANA is able to develop rapidly. In fact, Subang’s explosive products are under regular demand of overseas consumers, such as the export of cartridge emulsion products to Johnex Explosive Australia.
Apart from the factory, DAHANA controls a Bonded Logistics Center (BLC) facility which has received high trust from consumers of oil and gas drilling. DAHANA’s BLC is a strategically located storage station for imported explosives. DAHANA’s BLC allows the oil and gas and mining companies to save on their transportation and logistics costs and support the growth of the oil and gas industry.
“The savings originates from the reduced costs generated by the process of importing and storing imported raw explosives before products are used by consumers. The high rate of BLC rent has reached 90%, including the rent the three big Indonesia’s drilling operator companies such as Halliburton, Schlumberger and Baker,” said Mr Widarman.
The benefits of DAHANA’s work in Subang Regency have paid off. As part of the Defense Industry SOE Holding, DAHANA is committed to moving forward with the community, especially in Subang. By means of its Social and Environment Responsibility (SER) unit, DAHANA is engaged in activities of education, health, environment, and improvement of ng the people’s economy under the concept of SME as fostered partners.
“Alhamdulillah, we have developed our harmonious relations with the local government and the community. DAHANA hires local workers and many fostered partner MSEs have succeeded in penetrating the global market,” concluded Mr Widarman.
