Skip to main content

Manufacturing in Indonesia continues to weaken

Published by , Editor
World Cement,

Indonesia Investments has reported that manufacturing activity in the country has tightened for the eighth continuous month in May 2015.

The HSBC Markit purchasing manager’s index stood at 46.7 in April. This figure rose to 47.1 in May, however still remaining below 50 and therefore representing a contraction in the market. Output, new orders and employment remain weak in Indonesia. It is therefore unlikely that Indonesian manufacturing will experience a sudden improvement in the near future. Output and new orders did however decrease at slower rates.

A decrease in foreign orders and purchasing activities accelerated to a new record level. For the tenth consecutive month, Indonesian manufacturers decreased employment in May as a result of declining new work and efforts to reduce operating expenses.

Slowing economic growth in Indonesia as a whole has resulted in the weak manufacturing data. Since 2011, the economy of Indonesia has been slowing as a result of sluggish global economic growth and the high domestic interest rate environment. In 1Q15, GDP growth slowed to a five-year low of 4.71%.

Edited from source by Joseph Green. Source: Indonesia Investments

Read the article online at:

You might also like


Ready to revolutionise the cement industry?

Join World Cement in Lisbon, 10 – 13 March 2024, for our first in-person conference and exhibition: EnviroTech.

This exclusive knowledge and networking event will bring together cement producers, industry leaders, technical experts, analysts, and other stakeholders to discuss the latest technologies, processes, and policies being deployed at the forefront of the cement industry’s efforts to reduce its environmental footprint.

Final tickets on sale NOW »


Embed article link: (copy the HTML code below):