Exports of textiles and garments to the US are expected to increase by 25 per cent this year to $2.5bn despite the recent terrorist attacks on New York and Washington, according to trade association chiefs.

Natsir Mansyur, chairman of the Indonesian Textile Association (API) predicts demand for textiles and garments will surge in the US, which is the largest buyer of Indonesian textiles and garments, before Christmas and New Year.

"I am optimistic as that country will show that it will not be affected by the terrorist attacks," Mansyur said after a meeting between the chief economics minister, Dorodjatun Kuntjoro Jakti, and leaders of the chamber of commerce and industry.

However, that optimism is not shared by many Indonesian shoe makers who fear they may lose export orders to the US totalling $150m in the wake of the attacks.

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