Investment in Indonesia's textile and textile products (TPT) industry reached IDR 11.40 trillion (USD 636 million) in the first half of 2026, up 11.85 percent from IDR 10.19 trillion in the same period last year, according to the Indonesian Textile Association (API).
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API Deputy Chairman Ian Syarif said the increase reflected investment across both upstream and downstream segments of the industry. Investment in textile manufacturing rose to IDR 6.78 trillion during the January-June period from IDR 6.05 trillion a year earlier, while investment in the apparel industry increased to IDR 4.62 trillion from IDR 4.14 trillion.
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The investment growth comes as the government continues efforts to revitalize the country's textile industry, which has faced pressure from weak exports, rising imports, and factory closures in recent years.
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Earlier this year, Coordinating Minister for Economic Affairs Airlangga Hartarto said the government was preparing a roadmap to strengthen the textile and textile products industry through investment in the midstream segment. Under the plan, state investment fund Danantara is expected to allocate around USD 6 billion to establish a textile-focused state-owned enterprise and finance capital goods procurement, technology adoption, and export expansion.
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We are preparing a roadmap to strengthen the TPT industry, Airlangga said, as quoted by Antara, adding that the investment would be directed toward modernizing production and boosting exports.
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The government has identified textiles and garments as one of the industries expected to help cushion the impact of external trade uncertainties, including potential tariff measures in key export markets, according to Antara.
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The latest figures also come amid broader investment growth in Indonesia. The government reported that investment realization continued to increase in the first half of 2026, supported by manufacturing, downstream industries, and services as it seeks to meet its full-year investment target.
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The textile and textile products industry is one of Indonesia's largest labor-intensive manufacturing sectors and remains a key contributor to the country's industrial base and exports.
