Indonesia's Manufacturing Accelerates Early in Year, Outperforms US, China and Australia

Jakarta, CNBC Indonesia – Finance Minister Purbaya Yudhi Sadewa has revealed that global manufacturing performance, including Indonesia’s, is experiencing expansion. The global manufacturing index has surged to 51.9, marking the highest level in the past 44 months.

Indonesia’s manufacturing index stands in the expansion zone at 53.8, a figure higher than those of China, the United States, and Australia.

“We are only behind Indonesia. So Indonesia’s economic condition from the supply side is very strong,” said Purbaya during the March 2026 edition of the State Budget (APBN) Press Conference on Wednesday (11 March 2026).

“This situation provides a positive signal that the manufacturing sector can continue to be the most important engine for Indonesia’s economic growth, supported by domestic demand,” he added.

Nevertheless, the government will continue to monitor supply chain challenges and risks of rising inflation affecting input costs in order to maintain momentum in domestic economic growth.