Third Quarter, Basic Metal Sector Leads Processing Industry Growth

The base metal sector led the growth of the non-oil and gas manufacturing industry in the third quarter of 2017. Based on data from the Central Statistics Agency (BPS), the Gross Domestic Product (GDP) of the base metal sector in the third quarter of 2017 grew by 10.6 percent to Rp 20.53 trillion, compared to Rp 18.56 trillion in the same quarter of the previous year. This achievement is higher than the national industrial sector growth of 5.49 percent, reaching Rp 455.9 trillion, and other sectors. Overall, the oil and gas and non-oil and gas manufacturing industries grew by 4.84 percent.

Meanwhile, the GDP of the food and beverage sector ranked second, recording growth of 9.46 percent to Rp 166.73 trillion from the previous period. This was followed by the machinery and equipment sector, which grew by 6.35 percent to Rp 8.02 trillion, and the transportation equipment sector, which grew by 5.36 percent to Rp 50.32 trillion. Only these four sectors managed to grow above the industrial average; the remaining 11 sectors were below the national industrial growth. The non-metallic mineral sector, leather and footwear sector, paper and printing sector, and machinery repair and installation services sector experienced contraction (negative growth) in the third quarter of 2017 compared to the same quarter of the previous year.

In the third quarter of 2017, the Indonesian economy grew by 5.06 percent year-on-year (YoY) compared to the third quarter of 2016, and cumulatively grew by 5.03 percent YoY for the period of Quarter I-III 2017 compared to the same period of the previous year.