Reporter: Ridwan Nanda Mulyana | Editor: Anna Suci Perwitasari
KONTAN.CO.ID – JAKARTA. The Indonesian Cement Association (Asperssi) presented the cement industry’s production and sales performance throughout 2025. Asperssi also mapped out the opportunities and challenges that will accompany the cement industry in 2026.
For information, Asperssi is the new name for the Indonesian Cement Association (ASI). The name change from ASI to Asperssi was stipulated in a Decree of the Minister of Law of the Republic of Indonesia on 9 December 2025.
Asperssi Chairman Lilik Unggul Raharjo revealed that the association consists of 16 companies, each of which has an integrated factory.
Asperssi noted that throughout 2025, the national cement production volume declined by around 4.5% year on year (yoy) from 67.8 million tonnes to 64.7 million tonnes.
This decline in production is in line with sluggish cement sales in the domestic market. According to Asperssi data, domestic cement sales declined by around 1.5% (yoy) from 64.9 million tonnes to 63.9 million tonnes in 2025.
Lilik highlighted four factors that held back the cement industry last year. These include economic conditions, a decline in people’s purchasing power, infrastructure budget cuts, and the suboptimal implementation of the 3 million houses programme.
‘(In the domestic market) the largest segment is still retail, at around 71%,’ Lilik told Kontan.co.id on Thursday (15/1/2026).
While domestic sales are sluggish, cement sales to the export market are surging. Asperssi recorded that cement sales to the export market jumped by around 32.2% (yoy) from 0.99 million tonnes to 1.32 million tonnes throughout 2025.
Cement exports mainly target the Timor Leste market, which contributes around 39%. This is followed by Australia (27%), the Maldives (14%), Papua New Guinea (12%) and the Philippines (8%).
There was also an increase in exports of semi-finished products (clinker). Clinker export volume increased by around 12.8% (yoy) from 10.9 million tonnes to 12.3 million tonnes throughout last year. The majority of clinker exports targeted Bangladesh, which contributed 73%.
Other clinker export markets were Taiwan (17%), Australia (7%), Sri Lanka (2%) and Mozambique (1%). Meanwhile, clinker production volume rose slightly by around 0.2% (yoy) from 57.1 million tonnes to 57.3 million tonnes last year.
Cement Industry Outlook for 2026
Asperssi predicts that the domestic cement market will climb this year. However, the growth level will not be too high. Lilik estimates that domestic cement sales will increase by around 1% – 2%.
‘Provided that economic growth is better than in 2025, the infrastructure budget increases, and the 3 million houses project runs according to plan,’ said Lilik.
Opportunities to boost cement sales come from public infrastructure projects, private projects in the industrial and property segments, and the 3 million houses programme. If realised according to target, Asperssi expects the 3 million houses programme to boost demand by up to 6.7 million tonnes.
In addition, cement industry players also see opportunities to expand into the export market. ‘There is potential for growth if logistics and costs are optimised and opportunities in new markets are seized,’ said Lilik. On the other hand, industry players are wary of the risks associated with the slow recovery of purchasing power among the lower-middle class. In addition, there are global uncertainties in the form of interest rates, geopolitical escalation and commodity prices.
Source: kontan.co.id
