November 4, 2025
JAKARTA – Strong gains in manufacturing exports helped Indonesia maintain a strong trade surplus in September despite weak global coal prices and falling coal shipments, Statistics Indonesia (BPS) reported on Monday.
Overall exports in September reached US$24.68 billion, up 11.41 percent year-on-year, while imports rose at a slower pace of 7.17 percent. Exports exceeded imports by $4.34 billion, marking a 65th consecutive monthly trade surplus.
The export increase was driven almost entirely by the non-oil and gas sector, which climbed 12.79 percent yoy to $23.68 billion.
BPS deputy for distribution and service statistics Pudji Ismartini said that, over the January–September period, non-oil and gas exports amounted to $209.8 billion, up 8.14 percent from the same period last year, with the manufacturing sector remaining the key growth driver, contributing more than 12 percent of overall export growth.
“The strongest increases came from palm oil, base metals, jewelry, organic chemicals and semiconductors,” she said in the monthly press conference.
Robust manufacturing, which in BPS’s classification includes processing industries like that for crude palm oil (CPO), helped offset a decline in commodity exports, particularly coal, which fell 20.85 percent yoy cumulatively, as global energy prices continued to soften.
In contrast, palm oil exports surged 32.4 percent yoy over the same nine-month period, while cumulative shipments of iron and steel rose 11.81 percent yoy, underscoring a shift toward higher-value-added exports.
In the month of September, precious metals and jewelry exports skyrocketed 168.57 percent yoy, while shipments of iron and steel climbed 23.67 percent yoy and vegetable oils, including palm oil, rose 18 percent.
This shift in export composition mirrors global price movements. BPS noted that prices of energy commodities, including coal and crude oil, declined both on a monthly and annual basis, while prices of precious metals like gold recorded significant increases, driving exports.
The export data underline Indonesia’s growing reliance on manufactured goods and intermediate products, making the country’s trade more resilient to commodity price swings and external shocks.
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Overall imports increased by just 2.62 percent yoy in the first nine months of 2025 to $176.32 billion, mainly on the back of higher purchases of capital goods like machinery and electrical equipment, while non-oil and gas imports rose 5.17 percent yoy to $152.57 billion.
The country booked a cumulative trade surplus of $33.48 billion over the January-through-September period, up from $22.18 billion a year earlier.
The surplus was largely supported by non-oil and gas products, which posted a $47.20 billion surplus, offsetting a $13.7 billion deficit in oil and gas trade.
The September trade surplus, however, marked a decrease from $5.49 billion in August, which Permata Bank chief economist Josua Pardede said was expected, as import activity picked up alongside recovering domestic demand.
He added that exports rose faster than anticipated, driven by strong shipments of precious metals and manufactured goods.
However, on a month-to-month basis, exports slipped 1.14 percent, with the implementation of United States import tariffs likely contributing to a 10.72 percent drop in non-oil and gas exports to the US.
“Exports of iron and steel continued to serve as key contributors to overall export growth. Moreover, the manufacturing PMI of most major trading partners improved in September, further maintaining external demand to some extent,” Josua told The Jakarta Post on Monday.
Josua noted that the rebound in imports seen in the month of September indicated a broad-based recovery in demand across consumer goods, raw materials and capital goods “amid the government’s pro-growth policy agenda.”
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China and US remain key markets
China maintained its position as Indonesia’s largest export destination over the first nine months of this year, with non-oil and gas shipments reaching $46.47 billion, up 9.19 percent year-on-year, supported by strong demand for iron and steel.
The United States followed as the second-largest market with $23.03 billion imported from Indonesia, led by shipments of electrical machinery and components, which jumped 37.6 percent yoy.
Meanwhile, exports to India fell 25.42 percent due to weaker demand for mineral fuels, reflecting the slowdown in global energy trade.
The US contributed more to Indonesia’s trade surplus so far this year than any other country, while Bank Danamon economist Hosianna Evalita Situmorang noted in an analysis on Monday that the “surplus with ASEAN partners (excluding the Philippines and Singapore), strengthened to $5.68 billion.”
Vehicle imports, which made up 5.41 percent of total imports, increased 20.33 percent year-on-year, with China remaining the top supplier at $3.52 billion.
“Going ahead, the US-China trade deal is expected to support Indonesia’s exports, particularly nickel and steel, with a potential $0.2 billion–$0.3 billion monthly boost from PT Amman Mineral International’s 480,000-tonne copper ore license,” she said.