"Indonesia now contributes almost 30 percent of the total global factory workforce of Adidas and Nike. This shows that our manufacturing competitiveness is recognized at the global level," spokesperson of the Industry Ministry, Febri Hendri Antoni Arif, said on Monday.
According to Arif, this also offers wider employment opportunities for Indonesian workers.
He noted that Indonesia has also succeeded in attracting more production allocations from the two global giants, who have even shifted production centers from countries such as China, Vietnam, and Cambodia.
In the footwear sector, the ministry recorded that 7,644 new workers were recruited in 2024, an increase of 3 percent compared to the previous year, bringing the number of workers engaged in the industry to 271,774.
Meanwhile, in the clothing sector, recruitment growth was more rapid with the addition of 10,013 workers, or a 30 percent jump compared to the previous year, with the total workforce pegged at 36,409.
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Arif informed that most of the Nike and Adidas supplier factories in Indonesia are owned by foreign investors, mainly from China, South Korea, and Taiwan.
Those investors are actively expanding production capacity by hiring more workers. For example, Ontide from South Korea and Korrun from Vietnam.
Meanwhile, PT Pancaprima Ekabrothers has experienced a 10.9 percent decline 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.
Based on the ministry's data, the performance of footwear and clothing exports continued to show positive growth in 2024. Indonesia's total footwear and clothing exports during the period reached US$11.2 billion.
Arif said that his ministry sees this positive trend as a great opportunity to strengthen the domestic industry to open new jobs and provide a large multiplier effect.
"We are committed to continue creating a conducive investment climate, improving workforce skills, and strengthening industrial infrastructure to make Indonesia a strategic partner in the global supply chain," he added.
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Translator: Ahmad Muzdaffar, Resinta Sulistiyandari
Editor: Yuni Arisandy Sinaga
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