Indonesia’s PMI Declines in March 2026 but Remains in Expansion Zone

  • 01 Apr 2026 10:45 WIB
  •  Voice of Indonesia
Key Points
  • Indonesia’s Manufacturing Purchasing Managers’ Index (PMI) for March 2026 stood at 50.1, remaining in the expansion zone.
  • The manufacturing PMI remained in expansionary territory throughout the first quarter of 2026.

RRI.CO.ID, Jakarta - Indonesia’s manufacturing sector continued to show resilience amid global uncertainty, with the Manufacturing Purchasing Managers’ Index (PMI) for March 2026 recorded at 50.1, remaining in the expansion zone.

Industry Minister Agus Gumiwang Kartasasmita said the figure reflects the sector’s ability to withstand pressures from geopolitical conflicts, supply chain disruptions, and rising raw material prices.

“We are astonished and grateful that, despite extremely challenging global and domestic conditions, Indonesia’s average manufacturing PMI remains above 50,” he said in an official statement in Jakarta on Wednesday, April 1, 2026, as quoted on the ministry’s official website.

Throughout the first quarter of 2026, the PMI consistently stayed in expansionary territory, reaching 52.6 in January, rising to 53.8 in February, and moderating to 50.1 in March. Although growth slowed, the index above 50 indicates continued industrial activity.

Minister Agus noted that relatively stable domestic demand remains the main pillar supporting the national industry. “Domestic demand continues to be the backbone, enabling the sector to withstand significant external pressures,” he said.

Globally, several countries also reported slower manufacturing activity in March. Japan’s PMI stood at 51.6, while in ASEAN, Thailand recorded 54.1, Malaysia 50.7, Myanmar 51.5, and the Philippines 51.3.

Survey data showed that production costs rose sharply due to supply chain disruptions and higher energy prices. Geopolitical conflicts have fueled raw material inflation and caused the longest delivery delays since October 2021.

The March Industrial Confidence Index (ICI) survey found that 73.7 percent of respondents assessed business activity as improving or stable, while optimism for the next six months stood at 71.8 percent.

The Ministry of Industry, together with other ministries and agencies, continues to strengthen industrial structures, maintain raw material supplies, and increase production capacity utilization. “This resilience must be maintained because the manufacturing sector is the backbone of the national economy,” Minister Agus concluded. ***

google-preference

News Recomendation

Latest News

Loading latest news.....