ITS Garibaldi to Indonesia: The Background of the Transfer and the Windfall of Contracts for the Italian Defense Industry

The historic aircraft carrier Giuseppe Garibaldi (C 551), the flagship of the Italian Navy for decades before being decommissioned in October 2024, finally has a new destiny: it will set sail for Southeast Asia.

After months of rumors and heated debates about its possible future as a floating museum (with the cities of Taranto and Genoa stepping forward), in March 2026, the Senate’s Foreign Affairs and Defense Commission greenlit the ministerial decree for the free-of-charge transfer of the vessel to the Indonesian Navy (TNI-AL). A move that initially raised eyebrows, but which actually hides a precise and calculated industrial strategy.

Why give it away for free? The cost issue

The idea of selling the Garibaldi (an initial figure of around €450 million was floated) quickly faded, as did the museum option. The reason is purely economic and logistical.

According to the Italian Defense General Staff’s dossiers, keeping the unit moored in port requires an expenditure of about €5 million a year (including electricity, security, and minimal maintenance). Converting it into a museum ship proved to be an unaffordable option: it would have required an initial investment of €100 million, plus another €35 million annually for operational management.

In this context, the free transfer of the cruiser (whose residual book value is estimated at just over €54 million) represents the most economically sustainable option for the Italian Ministry of Defense, completely eliminating the maintenance costs and those of a future, inevitable scrapping.

The strategic “Gift”: benefits for the Italian industry

The real core of the operation is not the savings, but the indirect gain. The Garibaldi serves as a fundamental diplomatic and commercial “flywheel” to consolidate the Rome-Jakarta axis, paving the way for a multi-billion euro package of contracts for the national industrial sector.

The transfer of the cruiser is in fact closely linked to advanced negotiation tables involving the main players of the Italian defense apparatus (Fincantieri, Leonardo, Drass). The estimated spin-offs for the national industrial ecosystem are massive:

• Drass Submarines: The acquisition of 6 DGK-class submarines (produced by the Livorno-based company Drass) for an estimated value of €480 million is on the table. (It should be noted that government clarifications are currently underway regarding the management of private offsets, the so-called “Garibaldi case”, to definitively secure this contract).

2. Leonardo Trainers: The Indonesian Air Force is negotiating for 24 Leonardo M-346 advanced training aircraft, a deal worth around €600 million.

3. Maritime Patrol Aircraft (MPA): The purchase of 3 maritime patrol aircraft (presumably Leonardo/ATR platforms) is also expected, for a value of an additional €450 million.

All of this fits into a path already traced by Fincantieri, which recently finalized the supply of two Multipurpose Offshore Patrol Vessels (PPA) to Indonesia (the second of which recently left the La Spezia naval base).

What is the future of the Garibaldi in Indonesia?

The Indonesian Navy does not intend to use the Garibaldi as a traditional strike carrier. Jakarta will use the platform primarily as a training ship to train its crews in the complex logistical and operational management of a “flat-deck” unit.

According to the guidelines of the Indonesian Ministry of Defense, the ship will undergo major refitting work in its homeland (involving the local company Republic Corp) with the aim of converting it into a drone carrier platform. This will allow Indonesia to patrol its immense and strategic national archipelago using remotely piloted aircraft, drastically reducing operational costs compared to the use of conventional fixed-wing or rotary-wing assets.

The Chief of Staff of the Indonesian Navy, Admiral Muhammad Ali, has already expressed the hope of seeing the former Italian flagship arrive in Jakarta by October 5, 2026, in time for the Indonesian Armed Forces anniversary celebrations.