Indonesia is one of the largest aerospace and aviation markets in Southeast Asia because of its large population, geographic landscape, and growing demand for air travel. The aviation industry is expected to continue growing in the coming years as more people fly, airlines upgrade their aircraft, and investment increases in aircraft maintenance and manufacturing.

Indonesia’s aerospace and aviation sector has recovered strongly since the pandemic, supported by the rebound in domestic and international air travel. The market is expected to continue growing over the next decade, driven by several key factors, including: increasing tourism activities, rising demand for air cargo services, continued government investment in airport and transportation infrastructure.

In December 2025 according to BPS – Statistics Indonesia, Indonesia’s air transport passengers increased. Domestic passenger traffic increased by 9.02% to 5.5 million passengers, while international passenger traffic rose by 8.54% to 1.8 million passengers. Domestic air cargo volume also grew by 4.97% to 57.0 thousand tons. Throughout January–December 2025, domestic passenger traffic reached 59.8 million passengers, representing a 5.82% decline, while international passenger traffic increased by 8.14% to 20.5 million passengers. Air freight volume total 671.1 thousand tons, showing a slight increase of 0.01% compared with the previous year.