Indonesian Glass Industry Aims for Growth in 2026

Domestic Market Remains Key

The Indonesian glass industry is focusing on improving utilization and sales performance in 2026, with industry players highlighting both opportunities and challenges. Henry T. Susanto, Chairman of the Indonesian Glass Producers Association (APGI), emphasized that the domestic market remains the mainstay for the glass industry, with approximately 80% of production catering to local demand ²

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Export Market Contributions

Exports account for about 20% of total sales, with key markets including Southeast Asia, Latin America, South Africa, and Europe ²

. The industry is hopeful that improved domestic consumption and purchasing power will drive growth. APGI is also optimistic that the national economic growth target of 5.4% can be achieved, which would positively impact the glass industry's performance ¹

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https://industri.kontan.co.id/news/menimbang-prospek-kinerja-industri-kaca-pada-2026-ini-sorotan-dari-pelaku-usaha

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Economic Outlook and Industry Expectations

The Indonesian government is optimistic about stronger economic growth in 2026 despite global uncertainties. Finance Minister Purbaya Yudhi Sadewa expressed confidence that with synchronized fiscal and monetary policies, the economy can grow better than current projections. The government has set a 6% growth target for 2026, which is considered achievable given the expected continuation of positive trends from 2025 ³

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Manufacturing Sector Performance

The industry is also monitoring the manufacturing sector's performance, hoping that the Purchasing Managers' Index (PMI) will remain above 50, indicating continued expansion. This stability in the manufacturing sector is crucial for the glass industry's growth, as it is a key supplier to various manufacturing segments ¹

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Challenges Ahead

Despite the optimism, the industry faces challenges such as maintaining purchasing power and managing production costs, including the potential impact of high gas prices. The industry's ability to navigate these challenges will be critical to achieving the expected growth in 2026 ²

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