Indonesia’s Key Industries and Advanced Manufacturing Ready to Shine at TEI 2026

INDONESIA CONVENTION EXHIBITION (ICE) BSD CITY, TANGERANG, BANTEN, 12 OCTOBER 2026 —

Indonesia’s Strategic Industries Take Center Stage at TEI 2026 as Government Pushes Global Export Ambitions

Jakarta — Indonesia’s Ministry of Trade is set to showcase its most advanced manufacturing and high-tech sectors at the 41st Trade Expo Indonesia (TEI) 2026, running from October 14–18 at the Indonesia Convention Exhibition (ICE) BSD City in Tangerang, Banten, with a dedicated Strategic Industries Pavilion designed to attract international buyers and expand export markets.

The pavilion, located in Hall 5, will feature Indonesia’s strategic industries—including defense, aerospace, maritime navigation, and electric vehicles—as part of the government’s push to position the country as a competitive player in global supply chains. Fajarini Puntodewi, Director General of National Export Development at the Ministry of Trade, stated that the pavilion would highlight Indonesia’s "internationally recognized capabilities" in high-value manufacturing, aiming to "open trade collaboration opportunities and broaden export markets" for domestically produced goods.

A Showcase of Indonesia’s High-Tech and Defense Manufacturing Capabilities

The Strategic Industries Pavilion will host six major state-owned and private enterprises, each representing a cornerstone of Indonesia’s industrial ambitions:

- PT Pindad (state-owned defense conglomerate) – land vehicles, armored personnel carriers, and defense electronics - PT Dirgantara Indonesia (national aerospace manufacturer) – fixed-wing aircraft, drones, and aerospace components - PT Nusantara Turbin dan Propulsi (NTP) – aerospace engine maintenance, industrial turbines, and propulsion systems - PT Kemenangan – maritime navigation equipment and electronic systems - DTECH Engineering – high-tech industrial solutions and automation systems - Polytron – electric vehicles (EVs) and battery technology

Puntodewi emphasized that the pavilion would "reflect Indonesia’s diverse industrial capabilities, from defense development to advanced engineering and technology." The exhibition aligns with the government’s National Industrial Recovery Plan (NRP), which prioritizes high-value manufacturing, defense self-sufficiency, and aerospace expansion as key pillars of economic growth.

Seven Pavilions Highlight Indonesia’s Manufacturing Diversity

Beyond the Strategic Industries Pavilion, the Ministry of Trade will display Indonesia’s manufacturing strengths across seven commodity clusters in Halls 5–9, covering:

1. Electronics, Components, and Metals – Split into: - Electronics Pavilion (consumer electronics, semiconductors, and smart devices) - Components Pavilion (automotive and industrial parts) - Indonesia Metalworks Pavilion (processed metals, machinery, and industrial solutions)

2. Footwear and Cosmetics – Featuring handcrafted leather goods, sports shoes, and premium cosmetics 3. Musical Instruments – Showcasing traditional and modern instruments, including piano manufacturing 4. Pharmaceuticals and Medical Devices – Highlighting halal pharmaceuticals, vaccines, and medical equipment 5. Textiles and Apparel – Including batik, fashion fabrics, and sustainable textiles 6. Furniture – From handcrafted woodwork to modular and industrial furniture 7.

Bonded Zone Products – Goods manufactured in Indonesia’s export-oriented bonded zones, including textiles, electronics, and machinery

Puntodewi noted that the Manufacturing Products Pavilion—covering electronics, components, and metals—would serve as a "platform for Indonesian manufacturers to introduce high-value-added products and explore global supply chain partnerships." The ministry aims to "expand market access and strengthen business alliances" for Indonesian goods in international trade networks.

Market and Policy Implications for ASEAN and Regional Competitors

Indonesia’s push to position TEI 2026 as a launchpad for strategic industries comes as the country seeks to diversify exports beyond commodities and reduce reliance on raw material shipments. The exhibition aligns with President Prabowo Subianto’s economic agenda, which includes accelerating industrialization, boosting defense manufacturing, and developing a domestic aerospace sector.

For ASEAN neighbors, particularly Malaysia, Thailand, and Vietnam, Indonesia’s focus on high-tech manufacturing and defense exports signals growing competition in aerospace, electronics, and industrial machinery. Malaysia’s defense and aerospace sectors—led by DRB-HICOM and MIMOS Berhad—may face indirect pressure as Indonesia ramps up local production of aircraft (via Dirgantara Indonesia) and defense vehicles (Pindad).

Meanwhile, Singapore’s role as a regional manufacturing hub could see increased collaboration, particularly in semiconductor components and industrial automation, where Indonesian firms like Polytron (EVs) and DTECH Engineering are seeking global partnerships.

Outlook: Will TEI 2026 Deliver on Export Expansion Goals?

The success of Indonesia’s pavilions at TEI 2026 will hinge on buyer engagement from key markets, including the U.S., EU, Middle East, and ASEAN. Puntodewi has stated that the ministry will "actively pursue trade agreements and joint ventures" during the expo, with a focus on defense, aerospace, and green technology sectors.

If negotiations yield new export contracts or memorandums of understanding (MoUs), Indonesia could see accelerated growth in high-value manufacturing exports, particularly in aerospace (Dirgantara Indonesia), defense (Pindad), and electric vehicles (Polytron). However, supply chain bottlenecks, financing constraints, and global competition remain challenges.

The next critical step will be monitoring post-expo announcements from participating firms, particularly regarding foreign direct investment (FDI) pledges, technology transfers, and long-term supply agreements. Should TEI 2026 result in concrete deals, it could mark a turning point for Indonesia’s manufacturing-led growth strategy, reinforcing its position as a rising player in Asia’s industrial landscape.