Indonesia’s national manufacturing sector is projected to achieve robust growth in 2026, with the non-oil and gas manufacturing GDP expected to expand by around 5.51% amid global economic uncertainty. This optimistic outlook is supported by the commencement of operations at more than 1,236 newly completed industrial firms, which are anticipated to generate nearly 218,900 new jobs, underscoring the sector’s resilience and pivotal role as a driver of national economic momentum.
Investment in the sector is also set to surge, with total funding for non-oil and gas manufacturing projected to reach IDR 852.9 trillion, including IDR 551.88 trillion dedicated to production machinery and facilities. Government initiatives such as Industry 4.0 transformation, upstream-to-downstream strengthening, and policies boosting domestic value chains are expected to sustain this growth trajectory and further enhance competitiveness.
