Civic education is a moral development imperative of the Indonesian national curriculum and the United Nation's policy on education for sustainable development. It was within this context that we investigated the impact of ethical dilemma story pedagogy (EDSP) on student learning in a constructivist Indonesian STEM learning environment. EDSP uses specially-designed stories to engage students in ethical decision-making for resolving sustainable development dilemmas occurring in their daily lives. The research was conducted in six Indonesian middle schools with 462 students of chemistry, and it was designed to lead to understanding of how well students engaged in a constructivist values learning environment aimed at developing chemistry knowledge/skills and ethical values for living sustainably in the 21st century. Data were collected using the Constructivist Values Learning Environment Survey (CVLES), classroom observations, student interviews and students' reflective journals. Generally, students had positive perceptions of their constructivist values learning environment, engaged deeply in chemistry learning, reflected critically on their values and the social use of chemistry, and practised mutually-respectful communication and collaborative decision-making as strategies for solving sustainability dilemmas. We conclude that ethical dilemma story pedagogy can play an important role in integrating STEM education and civic education.