In August 2025, Indonesia’s Manufacturing Purchasing Managers’ Index (PMI) climbed to 51.5, rising 2.3 points from July’s 49.2, signalling a return to the expansion zone after four consecutive months of contraction. According to S&P Global Market Intelligence’s Usamah Bhatti, this marked the first operational improvement in five months—with growth in both production and new orders, especially the fastest increase in export orders in nearly two years. In response, companies ramped up hiring and procurement to meet mounting demand, tapping into existing stock to fulfil orders.
Industry players across sectors reflected cautious optimism. The electrical equipment sector benefited from new PLN (state electricity) and private projects, while the glass industry saw recovering utilization hindered by mid-August industrial gas supply disruptions. However, automotive component manufacturers still faced challenges amid sluggish vehicle sales and imports of electric vehicles, hampering demand. Stakeholders emphasized the importance of stability—social, political, and economic—to sustain the positive momentum and prevent setbacks from unrest
Source: https://industri.kontan.co.id/news/pmi-manufaktur-agustus-2025-kembali-ekspansi-begini-respons-dari-pelaku-industri