Manufacturing Index Grows Slow In Second Quarter 2025

Illustration: Photo: Doc. ANTARA

JAKARTA - Bank Indonesia (BI) noted that the performance of the Business Field (LU) of the Processing Industry in the second quarter of 2025 was maintained and was in the expansion phase. This is reflected in the Prompt Manufacturing Index of Bank Indonesia (PMI-BI) of 50.89 percent, this figure is lower than the first quarter of 2025 of 51.67 percent.

Executive Director of the BI Communication Department, Ramdan Denny Prakoso, said that based on the constituent components, the majority of the components are in the expansion phase, namely production volume, finished goods inventory volume, and total order volume.

"Based on Subfield Business (Sub-LU), part of Sub-LU is in the expansion phase, with the highest index in the Machinery and Equipment Industry, followed by the Paper and Goods Industry, Printing and Reproduction of Record Media, as well as the Food and Beverage Industry," he said in his statement, Friday, July 18.

Denny conveyed that the development was in line with the results of the Bank Indonesia Business Activity Survey (SKDU) which indicated that the performance of the LU Processing Industry activities continued to grow with a weighted net balance (SBT) value of 1.29 percent.

Therefore, he said that in the third quarter of 2025, the performance of the manufacturing industry LU is predicted to be maintained and in the expansion phase as reflected in PMI-BI by 50.85 percent.

As for the components of its formation, the majority of components are predicted to be in the expansion phase with the highest index in the Baran So Supply Volume component, followed by Production Volume, Total Order Volume, and Input Goods Revenue Speed.

"The majority of Sub-LUs are also predicted to be in the expansion phase, with the highest index in the Basic Metal Industry, followed by the Transport Equipment Industry, as well as the Paper and Goods Industry from Paper, Printing and Reproduction of Record Media," he stressed.