Indonesia seeks more BrahMos missiles from India. Delhi eyes critical minerals as Modi visits Jakarta
Indonesia has formally expressed interest in procuring an additional BrahMos supersonic cruise missile battery from India, beyond the one agreed upon in Marc...
What Happened
- Indonesia has formally expressed interest in procuring an additional BrahMos supersonic cruise missile battery from India, beyond the one agreed upon in March 2026, and is seeking favourable credit terms to support the purchase.
- During a state visit to Jakarta, the focus on India's side includes securing joint ventures with Indonesian firms to establish processing facilities for critical minerals, particularly nickel, given Indonesia's dominant global position in nickel reserves and production.
- India imports over 80% of its ferronickel from Indonesia, creating a strategic dependency that New Delhi is seeking to convert into a more structured partnership rather than a simple commodity trade relationship.
- Multiple memorandums of understanding are planned across healthcare, pharmaceuticals, education, and space sectors as part of the broader bilateral agenda.
- China currently controls approximately 75% of Indonesia's existing nickel refining capacity, making India's push for joint processing ventures a direct effort to create an alternative supply chain outside Chinese-dominated infrastructure.
Static Topic Bridges
BrahMos Missile System — India's Premier Defence Export
BrahMos is a supersonic cruise missile developed as a joint venture between India's Defence Research and Development Organisation (DRDO) and Russia's NPO Mashinostroyeniya, with the name derived from the Brahmaputra and Moskva rivers. The programme was formalised in 1998 and represents the most successful Indo-Russian defence collaboration. It is among the fastest operational supersonic cruise missiles in the world, flying at approximately Mach 2.8 to 3 (roughly three times the speed of sound), and can be launched from land, sea, air, and submarine platforms.
- Original export range: 290 km (capped under Missile Technology Control Regime until India joined MTCR in 2016).
- Post-MTCR membership, range extended to 450 km; further variants reaching 800 km and beyond are under development.
- The Philippines became BrahMos's first overseas customer in 2022 via a $375 million contract; first battery delivered in April 2024.
- BrahMos-NG (Next Generation) — a lighter, smaller variant — and BrahMos-II (hypersonic, targeting Mach 8 with range up to 1,500 km) are under active development.
- The missile can be used for coastal defence, anti-ship, and ground-attack roles.
Connection to this news: Indonesia's request for an additional battery follows the Philippines precedent, signalling growing Southeast Asian demand for Indian defence platforms. Each BrahMos export strengthens India's credentials as a defence exporter and deepens strategic ties with recipient nations.
Missile Technology Control Regime (MTCR)
The MTCR is an informal, voluntary political arrangement established in 1987 by the G7 nations to restrict the proliferation of missiles and unmanned aerial vehicles capable of delivering weapons of mass destruction. It sets a threshold of 300 km range and 500 kg payload for Category I items (which face the strictest export controls). India became a full member of the MTCR in June 2016, which was a prerequisite for exporting extended-range BrahMos variants without triggering international objections.
- MTCR membership also helped India gain access to advanced missile technology from member states.
- Other export control regimes India has joined: Wassenaar Arrangement (conventional arms), Australia Group (chemical/biological), Nuclear Suppliers Group (NSG) membership bid remains pending.
- BrahMos exports are conducted on a government-to-government basis, with end-user agreements required.
Connection to this news: Indonesia's request for BrahMos is enabled by India's MTCR membership, which legitimises the export of this system. The deal also advances India's Act East Policy by strengthening defence relationships with ASEAN nations.
Critical Minerals — Strategic Importance and Supply Chain Security
Critical minerals are raw materials essential to modern technologies — including electric vehicle batteries, renewable energy systems, semiconductors, and defence equipment — whose supply chains are concentrated in few countries, creating strategic vulnerabilities. Nickel, cobalt, lithium, rare earth elements, and manganese are among the most strategically significant. Indonesia holds approximately 42% of the world's known nickel reserves and is the world's largest nickel producer, making it a pivotal node in global clean energy supply chains.
- Global nickel demand is projected to rise from approximately 3 million metric tonnes in 2023 to 5–6 million metric tonnes by 2040, driven by EV battery manufacturing.
- Indonesia is projected to account for 44% of refined nickel globally by 2040.
- China controls roughly 75% of existing nickel refining capacity in Indonesia through direct investment, giving Beijing significant leverage over global supply.
- India imports over 80% of its ferronickel requirement from Indonesia.
- India's National Critical Minerals Mission aims to secure domestic and overseas supply of 30 identified critical minerals.
Connection to this news: India's goal of establishing joint processing ventures in Indonesia is designed to reduce dependence on Chinese-controlled supply chains while giving Indonesia a diversified investment base. It is a direct application of critical mineral diplomacy as a tool of economic security.
India's Act East Policy
India's Act East Policy, launched in 2014 as an evolution of the earlier Look East Policy (1991), aims to deepen economic, strategic, and cultural engagement with the Indo-Pacific region — particularly ASEAN nations, Japan, Australia, and South Korea. It has four pillars: connectivity, trade, culture, and security. Indonesia, as the largest ASEAN economy, is a central partner in this framework.
- India and Indonesia established a Comprehensive Strategic Partnership in 2018.
- ASEAN-India Free Trade Agreement in goods has been in force since 2010; services and investment agreements followed.
- The Indo-Pacific Economic Framework (IPEF), of which both India and Indonesia are members, addresses supply chains, clean economy, and fair economy pillars.
Connection to this news: The BrahMos sale and critical minerals partnership together represent the security and economic dimensions of Act East Policy being pursued simultaneously — converting a diplomatic relationship into a tangible strategic partnership.
Key Facts & Data
- BrahMos developed jointly by DRDO (India) and NPO Mashinostroyeniya (Russia); programme established 1998.
- BrahMos speed: Mach 2.8–3 (approximately 3 times speed of sound).
- Original range: 290 km; extended to 450 km after India joined MTCR in 2016; further variants up to 800 km+.
- First BrahMos export customer: Philippines (2022 contract; $375 million; first battery delivered April 2024).
- Indonesia holds approximately 42% of global nickel reserves.
- India imports over 80% of its ferronickel from Indonesia.
- China controls approximately 75% of Indonesia's nickel refining capacity.
- Global nickel demand projected to reach 5–6 million metric tonnes by 2040 (up from ~3 million in 2023).
- Indonesia projected to supply 44% of refined nickel globally by 2040.
- MTCR established: 1987 (G7); India joined: 2016.