Indonesia’s manufactured goods exports soar in first half of 2021

Indonesia’s manufactured goods exports soar in first half of 2021

Indonesia’s exports of manufactured goods increased 33.45 percent to reach US$81.07 billion in the first half of 2021 as compared to the corresponding period last year, according to the Industry Ministry.

The manufacturing industry contributed 78.80 percent of Indonesia’s total exports that reached US$102.87 billion in the first half of 2021.

“The government is making every effort to ensure that the industrial sector will remain productive and competitive to meet the market demand and contribute to easing the impact of the COVID-19 pandemic on the economy,” Industry Minister Agus Gumiwang Kartasasmita noted in a written statement released on Sunday.

According to the Central Statistics Agency (BPS), despite the COVID-19 pandemic-induced pressure, the exports of manufactured goods rose 9.7 percent to reach US$14.08 billion in June 2021, from US$12.83 billion a month earlier.

The increase in exports of manufactured goods is expected to help expedite the national economic recovery.

The exports of manufactured goods, valued at US$14.08 billion in June 2021, contributed 75.91 percent of the national exports totaling US$18.55 billion.

The export performance suggested that the manufacturing industry remained the biggest contributor to the country’s total exports in the first half of 2021.

“The large proportion of exports from the manufacturing industry shows a shift in Indonesia’s exports, from primary commodities to manufactured goods that have high added value,” he remarked.

Manufacturing industries that dominated exports in June 2021 comprised the iron and steel industry, with US$1.99 billion; animal and vegetable oil, with US$1.89 billion; electronic machine and appliances, with US$1 billion; vehicles and spare parts, with US$734.6 million; and rubber and rubber products, with US$605 million.

The improving export performance has led the country to record a trade surplus of US$11.86 billion in the first semester of 2021.