Slowing Down 0.17 Points, Industry Confidence Index Drops To Level 52.98 In March 2025

Manufacturing industry (photo: dock. Antara)

JAKARTA - The Ministry of Industry (Kemenperin) reported that the industrial confidence index (IKI) in March 2025 was at 52.98.

Spokesperson for the Ministry of Industry Febri Hendri Antoni Arif said this figure slowed down by 0.17 points when compared to IKI in February 2025, which was 53.15.

"IKI in March 2025 amounted to 52.98 or expansion, slightly slowed down 0.17 points compared to February 2025 which amounted to 53.15," Febri said in an online release from IKI March 2025, Wednesday, March 26.

"Furthermore, IKI's value also slowed down by 0.07 points compared to last year's IKI March value of 53.05," he continued.

Of the 23 processing industry sub-sectors analyzed, 21 sub-sectors experienced expansion and 2 contraction sub-sectors. The expansion sub-sector contributed 96.5 percent to the GDP of the Non-Oil and Gas Processing Industry Quarter IV-2024.

The two sub-sectors with the highest value of IKI are the Printing and Recording Media Reproduction Industry (KBLI 18) and the Pharmaceutical Industry, Chemical Medicines and Traditional Medicine Products (KBLI 21).

Meanwhile, the two sub-sectors that experienced contraction were Furniture Industry (KBLI 31) and Rubber, Rubber and Plastic Goods Industry (KBLI 22).

In March 2025, there was a slowdown in the expansion of the new order variable value of 0.88 points or reached 53.69. On the other hand, the value of the production variable IKI experienced an acceleration of expansion of 0.66 points or reached 51.21.

Then, the value of IKI product inventory variables also experienced an acceleration of expansion of 0.34 points or reached 53.86. Business activities in general were still relatively good, as many as 78.1 percent of respondents said their business activities were improving and stable.

"Industrial proportions stating that their business conditions in March 2025 improved by 31.1 percent, slightly decreased by 0.8 percent. Meanwhile, the percentage of respondents who answered their business conditions was stable was 47.0 percent," he said.

The percentage of business actors who stated that their business conditions decreased in March 2025 to 21.9 percent. Furthermore, in March 2025, the optimism of business actors for their business conditions in the next 6 months decreased compared to February 2025, which was 69.2 percent.

"This figure decreased by 3.0 percent compared to the percentage of the previous month," explained Febri.

As many as 24.5 percent of business actors stated that their business conditions were stable for the next 6 months. This figure is an increase of 3.3 percent compared to the percentage of the previous month.

"Meanwhile, the percentage of pessimism of the views of business actors on business conditions in the next 6 months is 6.3 percent, a decrease of 0.3 percent compared to the percentage of the previous month," concluded Febri.