Indah Ayu Pujiastuti, Jakarta – Indonesia's footwear exports are expected to grow 15 percent next year as new investments boost production capacity in West Java, Central Java, and East Java, according to the Indonesian Footwear Association (Aprisindo).
Aprisindo Chairman Eddy Widjanarko said the projection remains realistic despite global challenges, including recent US tariff changes on imported footwear. "Capacity is increasing because investment keeps coming in. When new factories open, major brands like Nike, Adidas, Reebok, and Converse automatically place additional orders," he said on Thursday.
Indonesia booked $5.16 billion in footwear exports between January and August, up 11.89 percent from a year earlier, Industry Ministry data show.
Eddy said shipments dipped earlier in the year after the US adjusted import tariffs, but the impact should not be significant now that the final rates, 19 percent for Indonesia and 20 percent for Vietnam, have been set.
"There was a decline in exports for several months, but after the tariff was finalized, orders from customers started to return," he said. "We expect the impact to be manageable as long as the US doesn't make further changes or add new barriers."
Footwear exports to the US rose 18.07 percent year-on-year in January – September to $2.06 billion, according to the Central Statistics Agency (BPS).
Aprisindo continues working closely with global buyers to maintain competitiveness. "We collaborate with major buyers so that no issues arise that could burden Indonesia's footwear industry," Eddy said.
He also emphasized the sector's large economic footprint. "This industry has a very strong multiplier effect. Besides hiring thousands of workers, it brings economic benefits to surrounding regions, generates foreign exchange, and contributes to taxes and community welfare," he said.
Radioactive case at Nikomas resolved
Eddy confirmed the radioactive contamination incident at Nikomas Gemilang, a footwear manufacturer like Nike and Adidas, in Serang, has been formally closed following clearance from the Nuclear Energy Regulatory Agency (Bapeten).
"Bapeten has stated that the company's decontamination efforts meet safety standards. There is no remaining radiation hazard, and the emergency situation has been declared resolved," he said.
Bapeten's earlier report found that the cesium-137 radiation originated from contaminated material melted by Peter Metal Technology, a steel smelting plant in Serang that operated from October 2024 until its closure in July 2025. The contamination did not originate from footwear production activities at Nikomas.
Industry Ministry Director General Taufiek Bawazier also said Nikomas' production and export activities remain unaffected. "It is resolved; Bapeten has issued the letter. Nikomas Gemilang is not experiencing export disruptions. Everything has been cleared," he said.
Taufiek added that neither the tariff issue nor the radiation case has discouraged foreign investors. "There is no negative impact. In fact, because our tariffs are competitive, investors are increasingly confident about investing in Indonesia," he said.
The government continues to support the sector through tax incentives and easier licensing procedures. "Aprisindo's relationship with the government is very good. We keep receiving data and recommendations so policies can enhance competitiveness in this labor-intensive industry," he added.
Industry Minister Agus Gumiwang said the leather, leather goods, and footwear industry grew 8.3 percent in the first quarter, outpacing national economic growth. He noted that more than 23,000 domestic footwear brands are registered or in process at the Intellectual Property Database.
Agus called for stronger adoption of local products. "I hope all regional governments, ministries, and institutions remain consistent in increasing the use of domestic products," he said.
Source: https://jakartaglobe.id/business/indonesias-206b-us-footwear-exports-defy-us-tariff-pressure