DARA – The manufacturing sector continues to solidify its position as a key pillar of the West Java economy. Based on the latest data through the second quarter of 2025, this sector recorded positive performance in terms of growth, contribution to Gross Regional Domestic Product (GRDP), and employment.
The Head of the West Java Industry and Trade Office, Nining Yuliastiani, revealed that the manufacturing sector in West Java has demonstrated extraordinary resilience amid shifting global market dynamics.
"The manufacturing industry remains the backbone of our economy," Nining said in a statement in Bandung.
According to Nining, the data shows a shift in industrial growth subsectors. While in 2010 the food and beverage industry led the way with 8.7 percent growth, in the second quarter of 2025 the paper and paper products subsector now holds the highest growth position at 6.1 percent, followed by wood and wood products at 5.6 percent.
"Although growth has slowed to 5.5 percent, the food and beverage industry remains a stable and primary supporter of West Java's industry," she said.
In terms of contribution to GRDP, the metal industry remains the mainstay, despite experiencing a decline from 10.6 percent in 2010 to 7.7 percent in the second quarter of 2025. Conversely, the textile and clothing and food and beverage sub-sectors have shown an increasing trend, contributing to 6.2 percent and 6.0 percent, respectively.
Nining also highlighted the dominance of investment in this sector. Data from the third quarter of 2025 shows differences in the characteristics of Foreign Direct Investment (FDI) and Domestic Direct Investment (DDI). "Foreign investment (FDI) in West Java is currently dominated by the chemical and pharmaceutical industries, reaching 12.7 percent. Meanwhile, for domestic investment (DDI), the food industry remains the leading player, with a share of 12.1 percent," Nining explained.
With this achievement, the West Java Provincial Government is optimistic that strengthening labor-intensive industries and downstream chemical industries will continue to maintain West Java's economic stability throughout 2025 and into 2026. However, he emphasized that West Java's industrial strength will not be fully visible without complete data in the National Industrial Information System (SIINas).
"The industrial sector is the largest contributor to West Java's economy. However, if reporting is low, the true added value is not captured. We are undervalued, referring to data from the Central Statistics Agency (BPS), which shows the manufacturing industry's contribution reached IDR 311.6 trillion, or 40.94% of West Java's total GRDP," he said.
He added that much of West Java's industrial production differs from recorded figures due to underreporting. "To achieve the fourth quarter growth target, we cannot rely on physical development. The only way is to capture data, to collect data that has not been reported," he stressed.
The latest data shows that the SIINas reporting rate has only reached 33.5%. This low compliance of industry players means that the regional GRDP calculation does not reflect the true condition. Regarding policy direction, Nining stated that the West Java Department of Industry and Trade has prepared steps to accelerate the use of SIINas, starting with information dissemination via email and WhatsApp, outreach and technical guidance on SIINas account registration and quarterly SIINas reporting, and establishing a helpdesk to facilitate the registration and reporting processes for industry.
She emphasized that regencies/cities also need to directly monitor industries in their respective regions to prevent potential data loss or unrecorded data. She believes that every report received is a crucial part of the effort to achieve accurate and accountable industry data.