Recently, during the Indo Defense 2025 Expo, it was revealed that China has offered the Indonesian Navy the transfer of three Type 039A attack submarines (also known as the “Yuan” class), which are currently part of the People’s Liberation Army Navy (PLAN) inventory. The offer was reportedly made by representatives of Poly Technologies Inc., a Chinese state-owned company authorized to export defense systems, during a visit to Indonesian naval facilities in May.
Unlike previous proposals in which China offered the export variant of the Yuan, designated as the S26T—as occurred in July 2024—this time the offer would involve decommissioned operational units from the PLAN. If confirmed, the transfer would mark a shift in Beijing’s approach to Jakarta, offering platforms already in service with its own naval force.
The Chinese proposal appears aligned with the requirements of the Interim Readiness Submarine Class (IRSC) program, through which Indonesia seeks to temporarily bridge potential gaps in its submarine capabilities while awaiting the arrival of new French-built submarines. The IRSC stipulates the need for used submarines with a displacement between 1,800 and 2,800 tons, which matches the characteristics of the Type 039A. This would serve as a stop-gap solution to address the aging state of the country’s current fleet.
An aging fleet awaiting renewal
Currently, the Indonesian Navy operates a fleet of four aging Nagapasa-class submarines, a licensed variant of the Type 209/1400 built with South Korean assistance. These diesel-electric submarines measure 61 meters in length, and armed with anti-ship missiles and Black Shark torpedoes. However, due to their aging status, the authorities plan to progressively retire these units in the coming years, prompting Jakarta to urgently seek short-term replacement options.
The Naval Group contract: a long-term solution
In parallel, the Indonesian government signed a contract with Naval Group in April 2024 for the acquisition of two Scorpène Evolved submarines equipped with new lithium battery (LiB) technology. While the deal represents a qualitative leap for the country’s submarine fleet, its implementation is long term, as the agreement has yet to be activated. The first submarine is not expected to be delivered until around 2030. The contract is part of a broader understanding that began in 2021 with a Defense Cooperation Agreement, later reinforced by a Strategic Partnership Agreement (SPA) signed in 2022.
In this context, and given the temporal gap between the decommissioning of the current Type 209s and the arrival of the Scorpène submarines, the Indonesian Navy is considering the incorporation of an interim submarine class. This was confirmed by the Chief of Naval Staff, Admiral Muhammad Ali, who stated in 2023 that conventionally powered submarines with advanced propulsion were being considered to meet immediate operational requirements.
A window of opportunity for China
Against this backdrop, China’s offer of Type 039A submarines emerges as a viable short-term proposal. The Yuan class is widely deployed by the PLAN and features enhanced stealth, sensors, and air-independent propulsion (AIP) capabilities, making it a strong candidate to quickly bolster Indonesia’s maritime deterrence capabilities. Moreover, since these would be existing platforms, delivery timelines could be significantly shortened.
Although Jakarta has not yet made an official decision, the Chinese offer introduces a new chapter in Indonesia’s already complex submarine modernization equation—one that blends long-term strategic partnerships with the pressing need for immediate solutions.
Images used for illustrative purposes only.
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