Indonesia
INDONESIAN MANUFACTURING IS TARGETED TO GROW 6.89% IN 2026
The Indonesian government has set an ambitious target for national manufacturing growth at 6.89% by 2026, far above the 4.75% realized in 2024 and the 5.93% projected for 2025. This goal is outlined in the Strategic Plan (Renstra) 2025–2029 under Minister of Industry Regulation No. 41/2025. Historically, growth in the non‑oil and gas manufacturing sector has hovered between 4–5% over the past decade, never surpassing the 2011 peak of 7.46%. According to BPS data, cumulative growth up to Q3 2025 reached 5.17%, showing recovery from 4.71% in the same period last year, though the sector’s contribution to GDP remains stuck at 17.32% (2024 baseline). While manufacturing continues to be the main driver of the economy—contributing 18.67% to GDP in Q2 2025, higher than 18.52% in Q2 2024 and 18.25% in Q2 2023—the share remains stagnant compared to a decade ago (20.91% in 2015). Key challenges include contractions in vital industries such as transportation equipment (‑2.10%) and machinery (‑0.42%), as well as heavy dependence on imported raw materials. This reliance makes the sector vulnerable to exchange rate fluctuations and global supply chain disruptions. Without significant import substitution, the ambitious 2026 growth target risks being undermined by high production costs.Source: https://ekonomi.bisnis.com/read/20260107/257/1942255/manufaktur-ri-dibidik-tumbuh-689-pada-2026-saat-industri-stagnan#goog_rewarded (ICE GIACARTA)
Fonte notizia: Bisnis.com, 7 January 2026
