In a major development, Indonesia has reportedly suspended its US$8.1 billion Rafale deal with France, following concerns raised after Pakistan claimed to have shot down three Rafale jets used by the Indian Air Force. The deal, which was signed last year, involved the procurement of 42 Rafale fighter jets from French defense manufacturer Dassault Aviation.
Indonesia Suspends Rafale Deal After Reported Combat Setback
According to reports by Spanish defense outlet Galaxia Militar, the Indonesia Rafale deal has been put on hold amid growing doubts about the aircraft’s battlefield performance. The move comes just weeks after Pakistan’s military announced it had downed five Indian fighter jets, including three Rafale aircraft, during an aerial clash reportedly involving China-made J-10C jets and PL-15 missiles.
Indonesia Rafale Deal Cancelled Over Performance Concerns
The incident has sent shockwaves through defense circles. A report by Russian defense news site Top War first revealed Indonesia’s decision, which is now being widely cited by international media. The Indonesia Rafale deal cancellation appears to be directly tied to these combat losses. CNN later confirmed, via a senior French intelligence source, that at least one Indian Rafale was indeed shot down, marking the first verified combat loss of the highly advanced French fighter jet.
Indonesia Rafale Deal Cost and Delivery Timeline
The Indonesia Rafale deal cost was estimated at around US$8.1 billion, with the first six aircraft initially scheduled for delivery between February and March 2025. The contract was seen as a significant boost to Dassault Aviation’s export portfolio and a major step in Indonesia’s military modernization strategy. However, recent events have cast doubt over the future of the agreement.
Dassault Faces Setback as Buyers Reconsider Rafale Platform
Following the reports of Rafales being downed in combat, Dassault Aviation’s stock value plunged nearly 10% over a span of five trading sessions. Defense analysts now suggest that other prospective buyers may also reconsider their Rafale procurement plans. The aircraft, once praised for its agility, sensor fusion, and combat readiness, is now facing scrutiny over its real-world performance.
What This Means for Indonesia’s Defense Plans
Indonesia’s suspension of the deal may signal a broader shift in its defense procurement policy. The country had been seeking to modernize its air force amid rising tensions in the Indo-Pacific region. With the Indonesia Rafale deal cancelled, alternative platforms—possibly from the U.S., China, or Russia—could be back on the table.
