Trade War a Chance to Boost Furniture Exports
The burgeoning trade war between the United States and China can be a good opportunity to boost exports of non-oil and gas products, especially furniture. Indonesia now ranked 17th among the top 20 furniture-producing countries in the world.
A worker makes a finishing touch on the production process of an export-oriented jimbe drum at one of the production centers in Blitar, East Java, on Tuesday (10/7/2018). The Indonesian Furniture and Handicraft Industry Association (HIMKI) said that the value of Indonesian furniture and handicraft exports in the first semester of 2018 reached only US$1.3 billion, an increase of 9 percent from the same period last year, but far below the government\'s target of $2 billion.
BANDUNG, KOMPAS – The burgeoning trade war between the United States and China can be a good opportunity to boost exports of non-oil and gas products, especially furniture. However, if the government is still unable to resolve the problems related to the procurement of raw materials and the furniture distribution chain, the opportunity could instead boomerang against the country’s labor-intensive industries.
Based on data from the Indonesian Furniture and Craft Association (HIMKI), the US and China are the two largest furniture markets in the world. Meanwhile, HIMKI said secretary-general Abdul Sobur, Indonesia now ranked 17th among the top 20 furniture-producing countries in the world.