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Growing Science » Authors » Eva Ervani

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Mandatory industrial SNI and Indonesia's import network: A gravity model and social network analysis Pages 1807-1828 PDF Download PDF

Authors: Cahyadi Cahyadi, Budiono Budiono, Titik Anas, Eva Ervani

doi 10.5267/j.ijdns.2026.6.001

🔑 Keywords: Indonesian National Standard (SNI), Mandatory standard, Gravity trade model, International trade, Social network analysis

Abstract:
This study examines the impact of the mandatory implementation of the Indonesian National Standard (SNI) on Indonesia's international trade performance across several strategic industrial sectors. Employing a bilateral gravity model of trade and the Generalized Least Squares (GLS) estimation method, the study analyzes panel data on Indonesia's exports and imports with 15 major trading partners during the period 2002–2022. In addition, Social Network Analysis is utilized to explore changes in Indonesia's trade connectivity and sectoral import–export network structure following the implementation of mandatory SNI policies. The empirical findings indicate that mandatory SNI implementation exerts a significant negative effect on the volume and value of imports in the textile and apparel, electronics, and chemical sectors. In contrast, the effects on imports in the food and beverage and automotive sectors are statistically insignificant. On the export side, mandatory SNI does not significantly affect aggregate export value; however, sectoral differences are evident. The policy negatively affects exports in the food and beverage and electronics sectors, while positively contributing to export performance in the textile and apparel and chemical industries. Furthermore, the network analysis reveals changes in trade connectivity patterns, particularly in sectors subject to stricter standardization requirements, indicating that mandatory SNI policies may reshape Indonesia's trade relationships within the global market network. These findings demonstrate that the impact of mandatory SNI on international trade is heterogeneous across industrial sectors. Therefore, national standardization policies should be designed according to sector-specific industrial characteristics, trade competitiveness, and international market integration dynamics.
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Journal: IJDS | Year: 2026 | Volume: 10 | Issue: 4 | Views: 55

 

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