Geopolitical conflicts in the Middle East are not only driving global oil prices higher but are also placing significant pressure on Indonesia’s textile industry. The textile and textile products (TPT) sector is expected to face major short-term challenges due to disruptions in raw material supplies and increasingly unstable global supply chains.

This situation has triggered a sharp increase in the prices of key raw materials that form the backbone of textile production. According to data from the Indonesian Filament Fiber and Yarn Producers Association (APSyFI), the prices of essential raw materials such as paraxylene, PTA, and monoethylene glycol (MEG) have risen by as much as 40 percent. As a result, polyester prices have also increased significantly, adding further pressure to the industry.

APSyFI Chairman Redma Gita Wiraswasta projected that the impact of these rising costs would quickly spread across the entire supply chain. Within one week, the increase in raw material costs is expected to be felt by fabric manufacturers, followed by the ready-made garment sector within the next two weeks.

This means the pressure is not only affecting upstream industry players but will also extend to downstream sectors, ultimately influencing the prices of finished products reaching consumers.

Chairman of the Indonesian Textile Association (API), Jemmy Kartiwa, explained that geopolitical tensions, disruptions in international trade, and shifts in global supply chains have become major challenges forcing industry players to operate more efficiently and adapt more quickly.

According to him, the current global situation has made dependence on international markets increasingly risky. As a result, many industry players are now adjusting their strategies through production efficiency, market diversification, and strengthening the domestic market as a mitigation step.

Amid these pressures, the government is expected to provide stronger and more concrete support. This includes not only ensuring the availability of raw materials but also implementing fiscal interventions to maintain the competitiveness of the national industry. Incentives for the manufacturing sector, strengthening the domestic petrochemical industry, and support for energy infrastructure such as industrial gas networks are considered essential priorities.

The domestic market is once again being seen as one of the main pillars supporting the sustainability of Indonesia’s textile industry, similar to what happened during the Covid-19 pandemic. With a large population and continuously growing textile demand, the domestic market holds strong potential to serve as a buffer when exports face global pressures.

Amid global geopolitical uncertainty, the resilience of Indonesia’s textile industry will be largely determined by its ability to adapt, improve supply chain efficiency, and strengthen collaboration between industry players and the government. If managed strategically, this crisis can become not only a challenge but also an opportunity to build a stronger, more independent, and globally competitive national textile industry.