According to Turkish media, the contract is valued at approximately $10 billion, though exact financial details have not yet been disclosed. The deal includes the production and delivery of the aircraft over a 10-year period.
We have signed a significant agreement with Indonesia for the KAAN project. The agreement signed with PT Republik Aero Dirgantara and PT Dirgantara Indonesia covers the procurement of 48 KAAN Turkish Fighter along with cooperation in production engineering and technology sharing. pic.twitter.com/CHSSB7xNiA
— Turkish Aerospace (@TUSAS_EN) July 24, 2025
Vice President Cevdet Yılmaz commented on X after the signing, stating, “With the political stability that makes long-term projects possible, and the vision and strong leadership of our President Recep Tayyip Erdoğan, our defense industry is gaining new dimensions every year.” He added, “May our national combat aircraft Kaan agreement with Indonesia be auspicious,” while thanking all parties involved.
The agreement also includes plans for establishing new facilities in Indonesia to support local production efforts. Turkish Aerospace Industries (TAI), which already has an office in Indonesia, will assist in localisation and industrial cooperation.
Reports indicate that the second and third Kaan prototypes, featuring internal weapons bays, aerial refuelling systems, and minor airframe modifications, are expected to conduct their maiden flights in April and July 2026, respectively. These models will further advance the development of the platform ahead of serial production.
Kaan is a fifth-generation fighter aircraft that Türkiye has been developing for nearly a decade. The jet was first unveiled in 2023 and completed its maiden test flight in early 2024.
Serial production of the Kaan fighter is planned to begin in 2028. The deal with Indonesia marks a significant milestone in Türkiye’s growing presence in the global defence industry.