Ashok Leyland, the flagship commercial vehicle arm of India's Hinduja Group, has forged a strategic alliance with Indonesia's state-owned PT Pindad.

The partnership was cemented through a Memorandum of Understanding (MoU) signed at Pindad's headquarters in Bandung on Tuesday, 3 February 2026, as per a PTI Report.

This collaboration centres on the joint development and production of electric buses tailored for public mobility and defence vehicles designed to meet Indonesia's national security needs. It combines Ashok Leyland's expertise in electric commercial platforms with Pindad's robust engineering and local manufacturing capabilities.

Amandeep Singh, President of International Operations, Defence, Light Commercial Vehicles, and Power Solutions at Ashok Leyland, highlighted the synergy.

He noted the company's longstanding reputation for reliable mobility solutions worldwide, bolstered by its subsidiary Switch Mobility's portfolio of globally appealing electric buses.

The MoU emphasises customisation to Indonesia's unique challenges, including diverse terrain, infrastructure constraints, and operational demands. Products will be engineered specifically for these conditions, ensuring optimal performance in both civilian and military applications.

This initiative aligns seamlessly with Indonesia's national priorities. The country is pushing for sustainable transport systems through electrification and seeks to bolster defence modernisation via locally produced, energy-efficient platforms.

PT Pindad, a key player in Indonesia's defence-industrial ecosystem, brings established competencies in weapons systems, armoured vehicles, and heavy engineering. Its infrastructure will support local assembly, reducing import dependency and fostering technology transfer.

Ashok Leyland's Switch Mobility has emerged as a leader in electric bus technology, with deployments across Europe, India, and the Middle East. Models like the Kei and EiV series offer advanced battery systems, rapid charging, and modular designs adaptable to tropical climates—ideal for Indonesia's archipelago geography.

In the defence domain, Ashok Leyland supplies logistics vehicles, troop carriers, and specialised platforms to the Indian armed forces. Its experience in rugged, multi-fuel and now electrified defence mobility will enhance Pindad's offerings for Indonesia's military.

The partnership could extend to co-developing hybrid-electric defence trucks and logistics convoys, addressing Indonesia's needs amid rising regional tensions in the South China Sea. Local production will create jobs and build indigenous skills in EV assembly and defence fabrication.

Sustainability is a core pillar, as electric buses will aid Indonesia's net-zero goals by 2060, curbing emissions from its ageing diesel fleet. Defence electrification aligns with global trends seen in platforms like the US Army's electric light reconnaissance vehicle.

Future phases might involve pilot deployments in Jakarta and Bandung, followed by full-scale production by 2028. Success could position this duo as a regional hub for Indo-Pacific defence mobility.

This MoU underscores India's growing defence export footprint, with Ashok Leyland joining peers like Tata and Mahindra in Southeast Asia. It exemplifies public-private synergy driving strategic autonomy.

Based On PTI Report