Industry Minister Muhammad Sarmuji said Indonesia’s non-oil and gas manufacturing sector remains in an expansion phase. Figures he presented at the 2026 Kadin National Leadership Meeting showed the sector grew 5.32% in the second quarter of 2026, slightly faster than national economic growth of 5.29% over the same period.

Sarmuji also compared 2025 performance: manufacturing expanded 5.3%, while the economy overall grew 5.11%. He said this differed from the previous pattern, when industrial growth usually trailed aggregate economic growth slightly.

In the same presentation, manufacturing contributed Rp1,102.88 trillion to GDP and accounted for 38.98% of realized national investment. The sector also represented 82.40% of national export value in August 2026, according to figures cited by Bisnis.com.

The Industrial Confidence Index (IKI) and manufacturing Purchasing Managers’ Index (PMI) were described as showing expansion. Bisnis.com reported these indicators as signs of resilience, while Sarmuji rejected claims that manufacturing was contracting.

The growth figure describes the sector in the period reported; one quarter alone cannot establish a long-term trend. The cited investment and export figures also cover different measurement periods from second-quarter growth.