The Industry Confidence Index (IKI) in September 2025 was recorded at 53.02, down 0.53 points compared to 53.55 the previous month. Although still in the expansion zone, the national textile and textile product (TPT) industry is considered to still face severe pressure.
Redma Gita Wirawasta, Chairman of the Indonesian Filament Fiber and Yarn Producers Association (APSyFI), assessed that the IKI data does not fully reflect the reality on the ground. According to him, companies experiencing problems or even ceasing production generally no longer respond to the survey. "If companies experiencing problems and closing down also responded, the index would be much lower," he said on Wednesday (October 1, 2025).
Redma revealed that the trend in industrial orders continues to decline, with national capacity utilization now below 50%. This calculation is based on the installed capacity of the entire industry, not just factories that are still operating. He also highlighted that utilization data from the National Industrial Information System (SIINas) often appears high because it doesn't account for factory capacity that has ceased operations.
He added that many employers are now adopting a wait-and-see approach while calculating allocations for layoffs. He believes layoffs will continue as long as the domestic market is flooded with imported products.
Meanwhile, the Ministry of Industry (Kemenperin) stated that despite the decline, the September 2025 Indonesian Manufacturing Index (IKI) was 0.54 points higher than the same period last year, which stood at 52.48. Of the 23 non-oil and gas processing industry subsectors analyzed, 21 still recorded expansion, while two subsectors experienced contraction: the computer, electronics, and optics industry (KBLI 26) and the machinery and equipment repair and installation industry (KBLI 33).
In detail, the Export IKI fell slightly by 0.12 points to 53.99, while the Domestic IKI weakened 0.72 points to 51.92.