BEKASI, Indonesia: Indonesian factory manager Ronie, whose plant produces shoes for Western markets, is preparing for layoffs as orders fall and wages rise, an example of the challenge facing President Joko Widodo as he seeks to boost the country’s lackluster manufacturers.

Widodo is hoping to return the country’s factories to their former glory as he seeks to lift Southeast Asia’s biggest economy, which is growing at five-year lows, and reduce dependence on commodity exports.

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