Indonesia's manufacturing sector faced an even steeper decline in August 2024, as the Nikkei Manufacturing Purchasing Managers' Index (PMI) dipped to 48.9. This marks a downward shift from the previous month's reading of 49.3, which had already shown contraction in the industry. The data was updated on 02 September 2024, providing fresh insights into the country's economic landscape.
The PMI reading below 50.0 indicates a further contraction in the manufacturing sector, following July's worrisome figures. August's decline highlights continued challenges faced by manufacturers, including possible supply chain disruptions, dwindling new orders, and economic uncertainties.
The consecutive drop in PMI numbers signifies the need for targeted policy interventions and support to revitalize the manufacturing domain, essential for sustaining Indonesia's broader economic recovery. Stakeholders and industry leaders will be looking closely at these trends to gauge the future steps necessary to stabilize and boost the sector.
