Indonesia Furniture Market Size

Indonesia Furniture Market Analysis

The furniture market in Indonesia is expected to grow from 2022 to 2028, at a CAGR of 7%. Indonesia has long been one of the world's leading furniture manufacturers. As one of the world's fastest-growing furniture manufacturers and most popular furniture exporters, Indonesia's furniture market is highly segmented and competitive. Its teak furniture and rattan furniture products are in high demand in local and international markets. Indonesia's Furniture industry has been designated as a priority sector for the country due to being a labor-intensive industry. The Indonesian government has set a target to increase the country's furniture export value which will drive the furniture industry in Indonesia. With strong government support and a positive market landscape, Indonesian furniture manufacturers are expected to increase their export values soon.

During the Covid-19 pandemic, exports of furniture products from January to May 2020 increased significantly by 51.3 percent compared to the same period last year. This increase certainly gave fresh air to the performance of national exports. Furniture exports from Indonesia to the US in January-May 2020 were recorded at USD 582.11 million. This figure increased by 51.3 percent compared to the previous year's period, which was recorded at USD 384.82 million. The impact of the Covid-19 crisis on consumer behavior and manufacturing trends has heightened the importance of digitalization and automation for the furniture industry. The pandemic is strengthening consumer demand for socially active brands that share their values and for products that respect the environment.