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Indonesia’s downstreaming strategy gains global recognition: Minister

Jakarta (ANTARA) – Indonesia's industrial downstreaming strategy has received international recognition, with the United Nations Industrial Development Organization (UNIDO) highlighting its progress in its 2026 Industrial Development Report (IDR), the Ministry of Industry stated.The report positions Indonesia as a model for downstream-based industrial development.”This report shows that Indonesia's industrial transformation is gaining international recognition. We will continue strengthening industrial competitiveness to produce more value-added products, create jobs, and expand Indonesia's role in global value chains,” Industry Minister Agus Gumiwang Kartasasmita noted on Tuesday.This recognition was presented at the regional launch of IDR 2026 through the Workshop: A Regional Launch Event of UNIDO's Industrial Development Report (IDR) 2026 and Indonesia Development Talks 24th Edition in Jakarta.Indonesia was recognized as a best-practice example for its success in advancing industrial transformation through downstreaming policies that add value to the country's natural resources.In its report, UNIDO specifically highlighted the development of critical mineral processing and the national electric vehicle ecosystem as examples of Indonesia's success in building value-added industries.According to Kartasasmita, this approach strengthens manufacturing competitiveness while creating opportunities for new industrial growth.The IDR is UNIDO's flagship publication, offering analysis of global industrial developments and policy recommendations for member countries.The 2026 edition examines key factors shaping global industry, including technological transformation, energy transition, investment shifts, and geopolitical dynamics.One of the report's key findings highlights China's growing role as a global manufacturing hub, alongside rising manufacturing investment across ASEAN, particularly in Indonesia's electric vehicle and battery sectors.Director General for Resilience, Regionalization, and International Industrial Access at the Ministry of Industry, Tri Supondy, said the report serves as a benchmark for shaping future industrial policies.He noted that the recognition serves as a reminder that industrial success cannot be measured solely by the ability to attract investment.Indonesia must also continue strengthening human resources, technological mastery, innovation, manufacturing capabilities, and supporting industries to expand its role in global value chains, Supondy added.He emphasized that developing green industries and adopting clean technologies are essential to meeting sustainable development targets.Supondy said UNIDO's recognition will reinforce Indonesia's position as a prime investment destination and boost international confidence in national downstreaming policies.The recognition is also expected to expand industrial cooperation, drive value-added growth, create jobs, and improve the competitiveness of Indonesian manufactured goods globally.