Indonesia’s Textile Industry Posts Strong Growth in Q2 2026

  • 07 Agt 2026 17:04 WIB
  •  Voice of Indonesia
Key Points
  • The textile and textile products industry showed a stronger‑than‑expected recovery in Q2 2026.
  • The sector’s improved performance is reflected in rising investment, export growth, a trade surplus, and its significant contribution to employment.

RRI.CO.ID, Jakarta - Indonesia’s textile and textile products (TPT) industry showed a strengthening recovery trend in the second quarter of 2026 (Q2 2026). The sector’s performance outpaced the growth of the national economy and the non‑oil and gas manufacturing industry, supported by rising investment, exports, and production activity.

Deputy Chairman of the Indonesian Textile Association (API), Ian Syarif, said the 6.36 percent year‑on‑year (yoy) growth reflects the sector’s improving competitiveness. The figure also represents an acceleration of 2.01 percentage points compared with the same period last year.

“The 6.36 percent growth indicates that the textile and apparel industry still possesses resilience and room for expansion,” Ian said in a written statement in Jakarta on Friday, August 7, 2026, as quoted by Antara.

Ian noted that the textile industry is now growing faster than the national economy, which expanded by 5.29 percent, and the non‑oil and gas manufacturing sector, which grew by 5.32 percent. According to him, this marks a recovery after the TPT sector faced significant pressures in recent years.

He added that the sector’s improving performance is also reflected in rising investment, export growth, a trade surplus, and the industry’s substantial contribution to employment.

As of the first half of 2026, investment in the textile, apparel, and footwear industry reached IDR 11.40 trillion (approximately USD 637.33 million), up 11.85 percent from IDR 10.19 trillion in the same period last year.

Investment in the textile industry increased from IDR 6.05 trillion to IDR 6.78 trillion, while investment in the apparel industry rose from IDR 4.14 trillion to IDR 4.62 trillion. According to Ian, this shows that investment flows are entering both upstream and downstream segments, strengthening the national garment industry’s supply chain.

Trade performance also remained positive. TPT exports from January through May 2026 reached USD 4.85 billion, up 1.57 percent compared with the same period last year. Imports rose to USD 3.58 billion, resulting in a trade surplus of around USD 1.27 billion.

Ian assessed that Indonesian textile products remain competitive in the global market. However, he cautioned that faster import growth compared with exports needs to be addressed by optimizing trade agreements with the United States, the European Union, and other partner countries to expand markets and increase orders for Indonesian TPT products. ***

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