Urgensi perihal keberadaan pendidikan karakter terutama terkait nilai-nilai yang berbasis local culture, bukan hanya berlaku bagi anak didik normal, melainkan juga yang berkategori abnormal, misalnya para penyandang tunagrahita, terutama bagi kepentingan pembentukan jiwa nasionalisme dalam dirinya. Terkait dengan hal itu, penelitian ini bertujuan untuk mendeskripsikan pengintegrasian pendidikan karakter berbasis local culture melalui pembelajaran keterampian kriya kayu pada tunagrahita, khususnya yang ada di SLB Negeri 2 Yogyakarta. Penelitian ini menggunakan metode kualitatif-fenomenologis. Data penelitian diperoleh dengan teknik observasi, wawancara, dan dokumentasi. Analisis data menggunakan model interaktif dari Miles dan Huberman. Hasil penelitian dapat disampaikan sebagai berikut. Pengintegrasian pendidikan karakter berbasis local culture melalui pembelajaran keterampian kriya kayu pada tunagrahita dilaksanakan meliputi tahapan: analisis kebutuhan, perencanaan, pelaksanaan, dan evaluasi. Analisis kebutuhan dilakukan dengan teknik wawancara, observasi, dan diskusi dengan guru kelas. Perencanaan pembelajaran dirumuskan menyesuaikan dengan kemampuan siswa penyandang tunagrahita. Pelaksanaan pembelajaran dengan teknik demonstrasi dan project based learning. Evaluasi pembelajaran mencakup proses dan produk. Karya yang dihasilkan berupa hiasan dengan pelbagai ikon ornamen khas Yogyakarta, misalnya lambang kraton, tugu golong-gilig Yogyakarta, sepeda onthel, dan motif batik kawung. Seluruh produk karya seni tersebut, di samping bermakna estetis, juga bermakna filosofis. Kata kunci: Pendidikan karakter, local culture, pembelajaran kriya kayu, siswa tunagrahita. INTEGRATING LOCAL CULTURE BASED- CHARACTER EDUCATION IN WOOD CRAFTS INSTRUCTION FOR MENTALLY RETARDED STUDENTSThe need to integrate character education concerning values taken from local culture is significant in our educational practices conducted for both the ordinary students and those with special needs, not to mention those of mentally retarded students for the sake of building their nationalism spirit. Regarding this, this particular study aimed to describe the integration of local culture-based character education in the wood crafts instruction for mentally retarded students, particularly the one conducted at SLB Negeri 2 Yogyakarta. This study used phenomenological-qualitative method. Meanwhile, the data for this study were taken from the results of observations, conducting interviews, and documentation. The data were analyzed using the interactive model proposed by Miles and Huberman. The results of the analysis showed that the pactice of integrating local culture-based character education in wood crafts instruction for mentally retarded students in this school was conducted though the steps of conducting needs analysis, planning, doing actions, and evaluation. The needs analysis was conducted by doing interviews, observations and having discussions with the classroom teacher. The planning was formulated by adjusting the students’ capability. The teaching and learning process was conducted using the method of demonstration and applying the project based learning. The evaluation involved process and product evaluation. The products were in the form of ornaments with various icons of Yogyakarta, namely, the palace symbol, the special Yogyakarta monument, tugu, golog-gilig, the traditional bicycle onthel, and kawung one of its traditional batik ornaments. The reason of using the icons in these art products is not merely because of its aesthetics but also its underlying philosophy. Keywords: character education, local culture, wood crafts instruction, mentally retarded students.