Asaki Targets Production Capacity to Reach 701 Million Square Meters by 2028

Chairman of the Board of Directors of the Indonesian Ceramic Industry Association (Asaki), Edy Suyanto. (Theresia Agatha/VOI)

JAKARTA - The Board of Directors of the Indonesian Ceramic Industry Association (Asaki) for the period 2026-2029 has prepared a roadmap (roadmap) for the development of the national ceramic industry.

The roadmap depicts the expansion potential which includes investment growth, utilization rate and production capacity addition.

Asaki's General Chairman Edy Suyanto re-elected revealed that his party had prepared a ceramic industry roadmap for the next three years. One of the targets is to increase production utilization.

Asaki aims, the utilization of national ceramic production will continue to rise from 73 percent in 2025 to 80 percent in 2026. Next year, Asaki aims for ceramic production utilization to rise to 85 percent.

"After that, 2028 onwards, we dare to set (target utilization) above 90 percent," said Edy in his remarks at the inauguration of the Board of Directors of the Indonesian Ceramic Industry Association (Asaki) Period 2026-2029 at the Ministry of Industry's office, Jakarta, Monday, February 3.

Edy said that this optimistic projection will be supported by government policies and strategic programs.

Asaki also appreciates policies that support the domestic ceramic industry, such as anti-dumping, safeguard, and the mandatory implementation of the Indonesian National Standard (SNI). These policies are believed to have encouraged the recovery of the ceramic industry throughout 2025.

On the other hand, there are a number of government programs that have the potential to make the prospects for the ceramics industry continue to improve.

Starting from the 3 Million House Program, the construction of People's Schools, the rapid and massive construction of the Red and White Cooperative, and incentives in the property sector.

Asaki even estimates that the 3 Million House Program can increase the utilization of ceramic production by around 16 percent. If this program is realized according to target, the utilization of national ceramic industry production is said to exceed 90 percent.

"But for this year we are still using a moderate figure in percent," he said.

Not only utilization, the production capacity of the ceramic industry will also increase. Edy revealed that the production capacity of the national ceramic industry last year was at the level of 650 million square meters.

Installed capacity will also increase by about 4 percent to 672 million square meters this year.

"In the next two years, at the latest in 2028, there will be an additional increase so that it reaches 701 million square meters. Well, this further strengthens the ceramic industry (Indonesia) in the world's top five," said Edy.

According to Edy, one of the boosters for the production capacity of the national ceramic industry is the Original Equipment Manufacturing (OEM) cooperation scheme between importers and local ceramic manufacturers.

Through the OEM scheme, there is the construction of a factory with a capacity of 60,000 square meters.

Not stopping there, there are plans to expand the construction of a factory with a capacity of 50,000 square meters. According to Edy, the OEM scheme grows in line with government policies that strengthen the protection of the domestic ceramic industry from imported products.

With various improvements in performance and expansion projections, Edy claimed that Indonesia had achieved self-sufficiency in ceramics.

"The multiplier effect of the policy has flowed. We dare to say that we are self-sufficient in ceramics. Without imports, we can meet the demand for domestic ceramics," he explained.

Based on data from the Ministry of Industry (Kemenperin), currently Indonesia has 36 ceramic companies with a total installed capacity of 650 million square meters.

Indonesia is the fifth largest producer of ceramics in the world. It is known that the four largest ceramic producers are China, India, Brazil and Vietnam.