Indonesia Stocks Drop Further on Factory Exit Concerns
2026-06-23 02:34
By
Farida Husna
1 min. read
Indonesia’s shares fell 37 points, or 0.6%, to 6,080 in early Tuesday trade, extending prior losses following Wall Street’s tech-led drop overnight ahead of U.S.
inflation data later this week.
Sentiment weakened further on reports that major Japanese automakers may relocate factories from Indonesia to Vietnam, raising concerns of large-scale layoffs.
At the same time, recent power disruptions in Java underscored infrastructure risks.
Meanwhile, index provider MSCI is set to review later this week whether to downgrade Indonesia to frontier market status, a move that could trigger heavy capital outflows.
Still, losses were partly contained by Finance Minister Purbaya Yudhi’s remarks that May indicators remain strong, citing manufacturing PMI, M0 growth of 14.8% yoy, and banking credit expansion of 11.5%.
Most sectors slipped, led by transport, industry, and healthcare.
Notable decliners included Transcoal Pacific (-9.3%), Bukit Asam (-3.9%), Bank Jago (-3.7%), and Harum Energy (-2.4%).