FX.co ★ Indonesia’s Factory Activity Returns to Expansion as PMI Climbs to 52.4 in September

Indonesia’s manufacturing sector moved back into expansion territory in September 2026, as the S&P Global Manufacturing PMI rose to 52.4 from 49.8 in August. The latest reading, released on 1 October 2026, signals a renewed improvement in operating conditions for Indonesian manufacturers after a brief contraction the previous month.

A PMI reading above 50 indicates expansion, while a figure below this threshold points to contraction. August’s 49.8 had highlighted a marginal decline in activity, but the September rebound suggests strengthening demand and increased production momentum across the sector.

The return to expansion is likely to be closely watched by investors and policymakers, as it may signal stabilizing industrial conditions and potential support for broader economic growth heading into the final quarter of 2026.