ASIATODAY.ID, JAKARTA – Indonesia’s footwear and clothing industry has shown its existence on the global stage.
In the past year, Indonesia has become the main choice for world-renowned brands such as Nike and Adidas to expand their production.
“Indonesia now contributes almost 30% of the total global Adidas and Nike factory workforce. This is clear evidence that the competitiveness of our manufacturing industry is increasingly recognized by the world,” said Spokesperson for the Indonesian Ministry of Industry, Febri Hendri Antoni Arief in his statement in Jakarta, Monday, March 17, 2025.
This not only emphasizes Indonesia’s position as a world-class manufacturing center, but also presents wider employment opportunities for domestic workers.
Indonesia has succeeded in attracting more production allocations from the two global giants, even shifting production centers from countries such as China, Vietnam, and Cambodia.
In the footwear sector, 7,644 new workers were recruited in 2024, up 3% from the previous year, bringing the number of workers in this sector to 271,774 people. Meanwhile, in the clothing sector, recruitment growth was more rapid with the addition of 10,013 new workers, or a 30% year-on-year jump, to a total of 36,409 workers.
Most of Adidas and Nike’s supplier factories in Indonesia are owned by foreign investors, mainly from China, South Korea, and Taiwan. They are increasingly actively adding workers to increase production capacity. For example, Ontide (South Korea) and Korrun (Vietnam) have recruited more Indonesian workers.
On the other hand, PT Pancaprima Ekabrothers experienced a 10.9% decrease in the number of workers, while Adidas is exploring the opening of a new factory in Indonesia through local partners such as PT Adonia and PT Aroma.
The Ministry of Industry noted that the performance of footwear and clothing exports has been increasingly strong throughout 2024. Indonesia’s total footwear and clothing exports in 2024 reached USD11.2 billion, up 9.8% compared to the previous year. The United States remains the largest market, absorbing 60% of Indonesia’s clothing exports. For footwear, exports to the US jumped 24.6% (yoy), equivalent to USD2.9 billion.
The Ministry of Industry sees this positive trend as a great opportunity to strengthen the domestic industry. Not only does it increase Indonesia’s competitiveness in the global market, but it also opens up new jobs and provides a broad multiplier effect.
“We are committed to continuing to create a conducive investment climate, improve workforce skills, and strengthen industrial infrastructure so that Indonesia can increasingly become a strategic partner in the global supply chain,” Febri emphasized. (AT Network)
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