<![CDATA[This study evaluates the strategic partnership between PT PAL Indonesia and Naval Group in developing the Scorpène Evolved submarine, applying the Absorptive Capacity framework combined with SWOT analysis. A qualitative approach based on systematic literature review was employed to assess four ACAP dimensions acquisition, assimilation, transformation, and exploitation and to map internal and external strategic factors. The findings indicate that, compared to the previous collaboration with DSME, the Naval Group project offers higher ACAP potential, particularly in knowledge acquisition and assimilation, supported by full involvement in design and construction as well as the establishment of a joint R&D center. Integration of domestic suppliers and adaptation of designs for tropical conditions strengthen the transformation dimension, while export prospects and technology spin-offs enhance exploitation opportunities. The SWOT analysis positions PT PAL in a relatively strong strategic stance, with its main strengths, local production from the first unit, joint R&D capability, and domestic supply chain integration enabling the acceleration of co-design, local manufacturing, and market expansion. Key recommendations include reinforcing dual-sourcing strategies to enhance supply chain resilience, developing critical components through co-development initiatives, and implementing capacity-building programs for specialized human resources. This integrated approach provides a comprehensive framework for evaluating technology transfer effectiveness in defense projects, offering both academic insights and practical guidance for sustaining competitiveness in the maritime defense industry.]]>
