Activity in Indonesia's manufacturing industry tumbled into contraction again in June 2017, after having experienced four months of straight growth. The Nikkei Indonesia Manufacturing Purchasing Managers' Index (PMI) declined to a reading of 49.5 in June, from 50.6 in the preceding month (a reading of 50.0 separates contraction from expansion). Contraction in Indonesia's manufacturing sector is particularly blamed on a stagnation in domestic order books.

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Elisa Sinaga, Chairman of the Indonesian Ceramic Industry Association (ASAKI), still expects domestic demand for ceramic products to remain bleak as there are no signs of improvement originating from Indonesia's property sector (compared to last year). However, Indonesia's ceramic exports are expected to rise in 2017.

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Huibert Vigeveno, EVP Global Commercial at Royal Dutch Shell Plc, recently visited Indonesia and shared information about Shell's views on the Indonesian oil and gas market. Shell, a British–Dutch multinational oil and gas company, has a long - more than 100 years - history in Indonesia and seems committed to stay in Southeast Asia's largest economy for a long time as Vigeveno names Indonesia an important market for Shell.

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Unilever Indonesia, one of the largest consumer goods producers in Indonesia, will continue to focus on the strengthening of its production lines. The company plans to invest up to USD $500 million over the next five years. Sancoyo Antarikso, ‎External Relations Director & Corporate Secretary at Unilever Indonesia, said the funds will be used to expand production capacity of the company's nine factories across Indonesia.

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