JAKARTA, May 2 (Xinhua) -- Indonesia's Purchasing Managers' Index (PMI) fell in April due to the impact of U.S. tariffs, according to Coordinating Minister for Economic Affairs Airlangga Hartarto.
Airlangga noted that the drop was influenced by the broader effects of U.S. trade policies, as Indonesia faces 32 percent tariffs.
"PMI dropped because of the trade war. Global trade is shrinking, and even the U.S. is experiencing negative growth," he told reporters on Friday.
Despite a slowdown in manufacturing activity as indicated by the PMI, the minister expressed confidence in Indonesia's economic resilience, citing regional stability and ongoing efforts to strengthen trade partnerships.
Airlangga also emphasized the need to reduce tariffs and trade barriers to enhance the competitiveness of Indonesian exports. "If we lower tariff barriers, other countries are likely to reciprocate, making our products more competitive globally," he said.
Indonesian Ministry of Industry spokesperson Febri Hendri Antoni said that the country's PMI fell to 46.7 in April, down from 52.4 in March.
