# Indonesia's Petrochemical Industry Lags Behind

> Indonesia's petrochemical industry remains underdeveloped, limiting its manufacturing capacity.
- Title: Indonesia's Petrochemical Industry Lags Behind | Shortify
- Summary: Indonesia's petrochemical industry remains underdeveloped, limiting its manufacturing capacity. Indonesia's petrochemical industry lags in development…
- Keywords: indonesia, petrochemical, manufacturing, sawit, industrial development, supply chain, CNBC Indonesia
- Source: CNBC Indonesia — https://cnbcindonesia.com/news/20261105065939-4-782449/dradjad-bongkar-masalah-industri-ri-sawit-petrokimia-belum-maksimal
- Author: Dovana Hasiana
- Published: 2026-11-05T08:40:39+00:00
- Read time: 1 min
- Topics: indonesia, petrochemical, manufacturing, sawit, industrial development, supply chain, business, money
## Indonesia's Manufacturing Challenges
Indonesia still faces major work in strengthening its manufacturing industry, particularly in petrochemical development.
## Petrochemical Development Lags
Wakil Menteri Koordinator Bidang Perekonomian Dradjad H. Wibowo states Indonesia's petrochemical industry development remains suboptimal.
## Sawit Industry Underutilized
Indonesia focuses on crude palm oil and cooking oil, missing opportunities to develop 200+ sawit derivatives.

> Palm oil itu produk turunannya itu hampir 200 kalau nggak salah. Tapi kita selalu mentoknya di CPO, minyak goreng
## Petrochemical Monopoly Concerns
Indonesia's petrochemical sector is dominated by one player, creating supply chain vulnerabilities.

> Ya karena kita industri dasarnya, terus kemudian ke petrokimia, ke plastik, itu kita agak telat membangun. Dan ini dikuasai juga oleh satu pemain
## Key takeaway

Indonesia's petrochemical industry lags in development, hindering its ability to build strong manufacturing supply chains.