The Indonesia Construction Market Report is Segmented by Sector (Residential, Commercial, and Infrastructure), by Construction Type (New Construction and Renovation), by Construction Method (Conventional On-Site and More), by Investment Source (Public and Private), and by Geography (Java, Sumatra, Kalimantan, Sulawesi, and Others). The Market Forecasts are Provided in Terms of Value (USD).

In 2024, the Indonesia Construction Market reached $273.15 billion, and is projected to surge to $535.98 billion by 2030 at a CAGR of 11.4% from 2025 to 2030

In 2023, preliminary figures showed the GDP of the construction sector in Indonesia was **** quadrillion Indonesian rupiah. For the past few years, Indonesia has focused on developing infrastructures all over the nation to increase connectivity. Following the agriculture and retail sectors, the construction industry is one of the major contributors to Indonesia’s GDP. Construction workers in Indonesia Over ***** million people were working in the construction industry in Indonesia. However, only **** million of those were permanent workers as construction workers in Indonesia are usually hired as temporary or casual workers. Jakarta had the highest average wage for temporary construction workers in Indonesia, at slightly over *** thousand Indonesian rupiah or ***** U.S. dollars daily. Following the increasing number of construction establishments in Indonesia, it is expected that the number of workers will also increase accordingly. Indonesia’s construction sector has been mainly focusing on Java Island Indonesia’s infrastructure build-up has been mainly focused on Java Island, where the current capital city, Jakarta, lies and where most of its population resides. Recently, the Indonesian government has started to shift its focus on developing its other islands. In August 2019, Indonesia's president announced that the capital city would be relocated to East Kalimantan as part of the strategy to reduce development inequality between Java and the other islands. It is thus expected that the gap between the value of total construction completed between Indonesian provinces would become smaller.

The Indonesian construction industry, valued at $284.17 million in 2025, exhibits robust growth potential, projected to expand at a Compound Annual Growth Rate (CAGR) of 7.50% from 2025 to 2033. This expansion is driven by several key factors. Firstly, significant government investment in infrastructure development, particularly in transportation projects like roads, railways, and ports, fuels substantial demand. Secondly, a growing population and rising urbanization necessitate the construction of new residential and commercial buildings, contributing to market expansion. Finally, the energy and utilities sector is undergoing significant upgrades and expansions, creating further opportunities for construction companies. Major players like Adhi Karya, Waskita Karya, and Samsung C&T are key beneficiaries of these trends, competing for large-scale projects. However, challenges remain. These include potential fluctuations in government spending, material cost volatility influenced by global commodity prices, and a need for skilled labor to meet the increasing demand. The industry's segmentation reflects these drivers, with commercial, residential, industrial, infrastructure (transportation), and energy & utilities construction sectors all contributing significantly to the overall market size. The consistent growth trajectory indicates a promising outlook for the Indonesian construction industry, albeit one subject to ongoing economic and logistical considerations. The forecast period of 2025-2033 presents considerable opportunities for both domestic and international construction firms. Growth within the residential sector is expected to outpace other segments due to rapid urbanization and a burgeoning middle class. Industrial construction will also see significant growth fueled by foreign direct investment and the expansion of manufacturing activities. Infrastructure projects, funded by both public and private sectors, will remain a crucial driver of overall market expansion. Strategic partnerships between local and international companies will play a vital role in leveraging expertise and resources to successfully navigate the market's dynamics. Furthermore, embracing sustainable construction practices and integrating innovative technologies will become increasingly crucial for companies to gain a competitive edge. Careful management of risks associated with regulatory changes, labor availability, and material costs will be essential for long-term success in this dynamic and expanding market. This report provides a detailed analysis of the Indonesian construction industry, offering invaluable insights for investors, businesses, and policymakers. With a focus on the period 2019-2033, including a base year of 2025 and a forecast period spanning 2025-2033, this study delves into market dynamics, key players, and future trends. The report utilizes high-search-volume keywords like "Indonesia construction market," "Indonesian infrastructure development," "Indonesian construction industry forecast," and "Southeast Asia construction," to ensure maximum online visibility. Key drivers for this market are: Government Policies and Regulatory Support, Tourism and Hospitality Sector Growth. Potential restraints include: Financial and Funding Challenges. Notable trends are: Growth of Infrastructural Plans Drives the Construction Market In Indonesia.

The Indonesia Commercial Construction Market Report is Segmented by Commercial Sector Type (Office, Industrial & Logistics, and Others), by Construction Type (New Construction and Renovation), by Investment Source (Private and Public), and by Region (TDKI Jakarta, West Java (Jawa Barat), and More). The Report Offers Market Size and Forecasts in Value (USD) for all the Above Segments.

In 2024, the gross domestic product growth rate for the construction sector in Indonesia was estimated to be around ***** percent, indicating a sharp increase from the previous year. Due to the COVID-19 crisis, many infrastructure projects in 2020 in Indonesia had been on hold. A significant increase in growth was seen in 2021, but it slightly decreased in 2022 by about *** percent.

The Indonesian construction industry presents a robust investment opportunity, exhibiting a market size of $30.99 billion in 2025 and a projected Compound Annual Growth Rate (CAGR) of 8.05% from 2025 to 2033. This growth is fueled by several key drivers. Firstly, significant government investments in infrastructure projects, including transportation networks, energy infrastructure, and public buildings, are stimulating demand. Secondly, a burgeoning population and rapid urbanization are creating a persistent need for residential, commercial, and industrial spaces. Thirdly, increasing tourism and the development of hospitality sectors are contributing significantly to the construction boom. The industry is segmented by building type, encompassing office buildings, retail spaces, hospitality facilities, institutional constructions (schools, hospitals), and others. Key players such as PTPP, Wijaya Karya, and Metropolitan Land are shaping the market landscape, while emerging players continue to enter the sector. While challenges remain, such as material price fluctuations and skilled labor shortages, the overall outlook for Indonesia's construction industry is positive, driven by sustained economic growth and government initiatives. The forecast period (2025-2033) anticipates a continuous expansion of the market, primarily driven by the aforementioned factors. However, potential restraints such as regulatory hurdles and environmental concerns related to construction practices need careful consideration. Furthermore, the distribution of projects across different segments will likely shift as Indonesia's economic priorities and infrastructural needs evolve. Strategic partnerships and technological advancements, such as the adoption of prefabrication techniques and sustainable building materials, will play a crucial role in optimizing efficiency and mitigating potential risks. This positive trend is expected to attract further foreign investment, further strengthening the industry's position in the Southeast Asian region. Recent developments include: November 2022: Indonesia's public works ministry proposed around 12.7 trillion rupiahs ($807.68 million) in extra funds over the next two years to speed up the construction of the country's new capital city on Borneo., March 2021: IKEA opened a new store in Kota Baru Parahyangan, on the outskirts of the West Java capital of Bandung, making it the Swedish furniture company's third store in Indonesia.. Notable trends are: Co-working Space, Retail Space and Hospitality space driving growth in the sector..

Indonesia Data Center Construction Market is Segmented by Tier Type (Tier 1 and 2, Tier 3 and Tier 4), Data Center Type(Colocation, Self-Built Hyperscalers (CSPs), Enterprise, and Edge), Infrastructure (Electrical Infrastructure, Mechanical Infrastructure). The Market Forecasts are Provided in Terms of Value (USD).

The Indonesian construction industry, valued at $284.17 million in 2025, is projected to experience robust growth, driven by significant government investments in infrastructure development, particularly in transportation networks and energy projects. This growth is further fueled by a burgeoning population and increasing urbanization, stimulating demand for residential and commercial construction. The sector's segmentation reveals a diverse landscape, with commercial, residential, industrial, infrastructure (transportation), and energy & utilities construction all contributing significantly. Key players like Chiyoda Corp, Toyo Construction Co Ltd, and several prominent Indonesian firms are actively shaping the market. While challenges like material price fluctuations and potential labor shortages exist, the overall outlook remains positive, projected to maintain a Compound Annual Growth Rate (CAGR) of 7.50% from 2025 to 2033. This sustained growth trajectory is underpinned by ongoing government initiatives aimed at improving the nation's infrastructure and supporting sustainable urban development. The historical period (2019-2024) likely saw varying growth rates, possibly influenced by global economic conditions and domestic policy changes, which might have deviated slightly from the projected CAGR. However, the long-term forecast paints a picture of consistent expansion, making Indonesia an attractive market for both domestic and international construction companies. Analyzing specific segment performance within the projected growth would provide a more granular understanding of the market dynamics, identifying high-growth sectors for targeted investment strategies. The Indonesian construction market’s success relies on effective risk management, including mitigation strategies for potential material price volatility and labor shortages. This includes exploring innovative construction techniques, adopting sustainable practices, and fostering skilled labor development programs. Government policies promoting transparency, efficient permitting processes, and sustainable infrastructure development will also be crucial in sustaining the industry's upward trajectory. International collaborations and technology transfer could further enhance efficiency and competitiveness within the sector. The integration of advanced technologies such as Building Information Modeling (BIM) and digital project management tools is also likely to become increasingly important in optimizing projects and minimizing risks. Recent developments include: December 2023: Masdar entered into contracts with PLN, Indonesia’s state-owned public utility company, to propel significant development initiatives for Southeast Asia’s largest floating solar power plant (SPS) and investigate possibilities in green hydrogen. This collaboration resulted in the initiation of the world’s largest floating solar power station (SPS) project, the 145MW “Cirata” (Cirata reservoir), in West Java, Indonesia, which commenced operations in December 2023., December 2023: Gravel secured funding from NEA to bolster Indonesia’s thriving construction industry.. Key drivers for this market are: Government Policies and Regulatory Support, Tourism and Hospitality Sector Growth. Potential restraints include: Government Policies and Regulatory Support, Tourism and Hospitality Sector Growth. Notable trends are: Growth of Infrastructural Plans Drives the Construction Market In Indonesia.

In 2023, the preliminary value of the total compensation for construction workers in Indonesia amounted to approximately 266.8 trillion Indonesian rupiah. This indicates an increase of around 18 trillion Indonesian rupiah compared to the previous year.

The Indonesia Construction Chemicals Market Report is Segmented by Product (Adhesives, Anchors and Grouts, Concrete Admixtures, Concrete Protective Coatings, Flooring Resins, Repair and Rehabilitation Chemicals, Sealants, Surface-Treatment Chemicals, Waterproofing Solutions), End-User Sector (Commercial, Industrial and Institutional, Infrastructure, Residential). The Market Forecasts are Provided in Terms of Value (USD).

In 2023, there were approximately **** million people working in the construction industry in Indonesia. In the past few years, the construction industry in Indonesia has been experiencing increased growth as Indonesia's current president pledged to improve the nation's connectivity.

Indonesia Number of Construction Company data was reported at 160,576.000 Unit in 2018. This records an increase from the previous number of 155,833.000 Unit for 2017. Indonesia Number of Construction Company data is updated yearly, averaging 101,239.000 Unit from Dec 1997 (Median) to 2018, with 22 observations. The data reached an all-time high of 161,372.000 Unit in 2010 and a record low of 25,087.000 Unit in 1999. Indonesia Number of Construction Company data remains active status in CEIC and is reported by Central Bureau of Statistics. The data is categorized under Global Database’s Indonesia – Table ID.EC001: Number of Construction Company.

Indonesia Number of Construction Company: DKI Jakarta data was reported at 10,092.000 Unit in 2018. This records an increase from the previous number of 9,786.000 Unit for 2017. Indonesia Number of Construction Company: DKI Jakarta data is updated yearly, averaging 5,352.500 Unit from Dec 1997 (Median) to 2018, with 22 observations. The data reached an all-time high of 10,092.000 Unit in 2018 and a record low of 1,109.000 Unit in 1999. Indonesia Number of Construction Company: DKI Jakarta data remains active status in CEIC and is reported by Central Bureau of Statistics. The data is categorized under Global Database’s Indonesia – Table ID.EC001: Number of Construction Company.

Investment Analysis of Construction Industry in Indonesia: By comes with extensive industry analysis of development components, patterns, flows, and sizes. The report calculates present and past market values to forecast potential market management during the forecast period between 2025 - 2033.

Indonesia Construction Market size was valued at USD 23.5 Billion in 2024 and is projected to reach USD 37.8 Billion by 2032, growing at a CAGR of 6.1% from 2025 to 2032.

Indonesia Construction Market: Definition/ Overview

Construction is the methodical process of creating or constructing infrastructure, structures, and buildings via a collaborative effort of planning, designing, and carrying out numerous activities. It entails the use of various materials, tools, equipment, and professional personnel to construct everything from residential and commercial structures to highways, bridges, and other civil engineering projects while complying to safety regulations, construction rules, and architectural requirements.

The Indonesia Construction Equipment Market Report is Segmented by Equipment Type (Earth-Moving Equipment, Road Construction Equipment, and More), Drive Type (Hydraulic and Electric/Hybrid), Power Output (Less Than 100 KW and More), End-User (Infrastructure & Real-Estate Contractors and More), Application (Residential Construction and More), and Region. The Market Forecasts are Provided in Terms of Value (USD) and Volume (Units).

Indonesia Compact Construction Equipment Market is projected to grow at a robust CAGR due to the government spending in Indonesian public infrastructure initiatives

The Indonesia Data Center Construction market exhibits robust growth potential, with a market size of $2.60 billion in 2025 and a projected Compound Annual Growth Rate (CAGR) of 17.19% from 2025 to 2033. This expansion is fueled by several key drivers. The burgeoning digital economy in Indonesia, driven by increasing internet and smartphone penetration, necessitates substantial investment in data center infrastructure to support cloud computing, e-commerce, and digital services. Government initiatives promoting digital transformation and investments in broadband infrastructure further accelerate this market's growth. Furthermore, the rising adoption of advanced technologies like artificial intelligence and the Internet of Things (IoT) is creating a significant demand for high-capacity and reliable data center facilities. The market is segmented by infrastructure (electrical and mechanical), tier type (Tier I-IV), and end-user (banking, IT, government, etc.), allowing for targeted investment strategies. While specific restraints are not provided, potential challenges could include land availability, skilled labor shortages, and regulatory hurdles. However, the overall outlook remains positive, indicating significant opportunities for both domestic and international players in the Indonesian data center construction sector. The market segmentation reveals diverse growth opportunities within the Indonesian data center construction landscape. Electrical infrastructure, comprising power distribution solutions (PDUs, transfer switches, switchgear), power backup solutions (UPS, generators), and service contracts, constitutes a significant portion of the market. Similarly, mechanical infrastructure, including cooling systems (immersion, direct-to-chip, rear door heat exchangers, in-row/in-rack), racks, and other mechanical components, is critical for maintaining optimal data center operation. Demand is spread across various tier types, with Tier III and Tier IV facilities likely experiencing higher growth given their higher capacity and resilience. End-user segments, such as banking, financial services, IT and telecommunications, and government, all contribute significantly to market demand, reflecting the broad application of data center technology across various industries. Companies like Aurecon Group, AECOM, Arup, and Jacobs Engineering are key players, but the market also features considerable opportunity for emerging businesses. Recent developments include: May 2024: Edgnex, a UAE-based data center company, announced plans to construct a 15 MW data center in Jakarta, Indonesia. The facility will be situated along MT Haryono, with the first phase of construction set for completion in the fourth quarter of 2025.June 2023: DCI Indonesia, a data center firm, unveiled its second building, H2-02, at its campus located outside Jakarta. The new 12 MW addition brings the total power capacity of the H2 campus to 27 MW, spanning two buildings. Situated on a sprawling 791-ha site in Karawang, east of Jakarta, the company's H2 campus boasts a massive capacity of up to 600 MW.. Key drivers for this market are: 4., The Rising Investments in Indonesia, Aimed at Bolstering its Cloud Services and Artificial Intelligence Capabilities, are Fueling the Demand for Data Centers4.; The Indonesia Government's Digital Initiatives Have Fueled a Surge in the Demand for Data Centers. Potential restraints include: 4., The Rising Investments in Indonesia, Aimed at Bolstering its Cloud Services and Artificial Intelligence Capabilities, are Fueling the Demand for Data Centers4.; The Indonesia Government's Digital Initiatives Have Fueled a Surge in the Demand for Data Centers. Notable trends are: IT and Telecom to Register a Significant Market Share.

Indonesia Construction Index: Value of Construction Index: North Sumatera data was reported at 312.380 2010=100 in Dec 2018. This records an increase from the previous number of 303.200 2010=100 for Sep 2018. Indonesia Construction Index: Value of Construction Index: North Sumatera data is updated quarterly, averaging 25.820 2010=100 from Mar 1990 (Median) to Dec 2018, with 116 observations. The data reached an all-time high of 312.380 2010=100 in Dec 2018 and a record low of 0.880 2010=100 in Dec 1991. Indonesia Construction Index: Value of Construction Index: North Sumatera data remains active status in CEIC and is reported by Central Bureau of Statistics. The data is categorized under Indonesia Premium Database’s Construction and Properties Sector – Table ID.EE004: Construction Index: Value of Construction Index: by Province.