Indonesian Manufacturing Capability Strengthened, Proven by the Rise of PMI to 53.7 in September 2022

JAKARTADAILY.ID – The increase in production and expansion of new domestic demand pushed up the Indonesian Manufacturing Purchasing Manager's Index (PMI) in September 2022. The Manufacturing PMI in that month was recorded at 53.7, or up from 51.7 last August.

"The increase in Indonesia's Manufacturing PMI this time is also due to the ability of the industry. These include efficiency due to the use of technology, increasing the capacity of industrial human resources, and easy access to raw materials," explained Minister of Industry Agus Gumiwang Kartasasmita in Jakarta, Monday, October 3, 2022.

S&P Global survey results show that Indonesia's manufacturing sector expansion rate during this period was the fastest in eight months and solid overall.

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At the ASEAN level, Indonesia also showed the strongest improvement in the health of the manufacturing sector, as manufacturing conditions improved across the region. Indonesia's Manufacturing PMI in September 2022 surpassed the World Manufacturing PMI (50.3), ASEAN (53.5), Malaysia (49.1), Vietnam (52.5), and the Philippines (52.9), also higher than China (48.1), Japan (50.8), and South Korea (47.6).

According to the Minister of Industry, Indonesia's Manufacturing PMI, which increased again in September 2022, shows the performance of the industrial sector is getting better and shows stable development.

"In this case, production activity plays an important role in increasing the index, which is supported by increased demand, especially from within the country," he said.

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Agus added that the resilience of the manufacturing industry has strengthened as evidenced by the PMI performance rising to 53.7 in September 2022.

“The maintenance of the supply chain in the industrial sector certainly supports an increase in productivity. This effort continues to be driven through strategic policies to boost the competitiveness of the national industry," he explained.

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