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PRWP

Reproducibility package for Nickel, Steel And Cars: Export Ban And Domestic Value Added In Indonesia

2025
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Reference ID
RR_IDN_2025_421
Author(s)
Hiau Looi Kee, Enze Xie
Collections
World Bank Policy Research Working Papers
Metadata
JSON
Created on
Oct 20, 2025
Last modified
Oct 21, 2025
  • Overview
  • Reproducibility Package
  • Description
  • Scope and coverage
  • Disclaimer
  • Access and rights
  • Contacts
  • Information on metadata

    • Overview

    Abstract

    Nickel is essential for producing iron and steel. Endowed with the world's largest reserve, Indonesia banned nickel exports in 2014 to promote industrialization. This paper studies the impacts of the export ban on downstream steel-using industries. A three-sector model shows that, while the export ban could raise the domestic value-added ratio (DVAR) in exports, the entry of smaller, inefficient firms led to aggregate efficiency losses downstream. Firm-level evidence confirms higher DVAR, smaller firm size, and larger entrant shares in downstream industries post the export ban. A field mission validated these results, while noting the continued heavy reliance on imported steel.

    Reproducibility Package

    Scripts
    Get Reproducibility Package
    File name
    RR_IDN_2025_421
    Zip package
    RR_IDN_2025_421.zip
    Title
    Reproducibility package for Nickel, Steel And Cars: Export Ban And Domestic Value Added In Indonesia
    Date
    2025-10
    Dependencies
    Stata dependencies are listed in the ado folder.
    Instructions
    See README in reproducibility package.
    Notes
    Computational reproducibility verified by Development Impact (DECDI) Analytics team, World Bank.
    Source code repository
    Repository name URI
    Reproducible Research Repository (World Bank) https://reproducibility.worldbank.org
    Software
    Name
    Stata
    Version
    18.5 MP

    Reproducibility

    Technology environment

    Paper exhibits were reproduced on a computer with the following specifications:
    • OS: Windows 11 Enterprise, version 23H3
    • Processor: Intel(R) Xeon(R) Platinum 8562Y+ 2.80 GHz (2 processors)
    • Memory available: 64 GB
    Technology requirements

    Runtime: 10 minutes.
    Reproduction instructions
    1. Access the data and code: Two datasets used in the reproducibility package are restricted and were accessed by contacting the data managers. Data cleaning and analysis codes are temporarily embargoed by the author. Users need to gain access to the data and code files to be able to reproduce the results.
    2. Place the data and code: Once all data and code files are obtained, paste all files in the corresponding folders according to the README.
    3. Run the code: Add the root folder in line 11 of the do-file "main" and run it.

    Data

    Datasets
    Name
    World Bank Commodity Markets Data (Pink sheet)
    Note
    Source: World Bank. File: "Commodity_price.xlsx". Accessed in May 2024.
    Access policy
    Data is publicly available and included in the reproducibility package.
    License
    Creative Commons Attribution 4.0 (CC-BY 4.0) with additional terms of use specified in the license URL
    License URL
    https://www.worldbank.org/en/about/legal/terms-of-use-for-datasets
    Data URL
    https://www.worldbank.org/en/research/commodity-markets
    Citation
    World Bank. n.d. "Commodity Markets Data (Pink sheet) [dataset]". Accessed in May 2024. https://www.worldbank.org/en/research/commodity-markets
    Name
    World Integrated Trade Solution - Product Concordance
    Note
    Source: World Integrated Trade Solution (WITS), World Bank. The data contain the correspondence between product codes and classification for different versions of the Harmonized System (HS), OECD product codes, and United Stated International Trade Commission (USITC) product codes. Files: "correspondence_table.xlsx", "HS2017HS2012.xlsx", "HS2022HS2012.xlsx", "HS2017HS2012.dta". Accessed in April 2025.
    Access policy
    Data is publicly available and included in the reproducibility package.
    License
    Creative Commons Attribution 4.0 (CC-BY 4.0) with additional terms of use specified in the license URL
    License URL
    https://www.worldbank.org/en/about/legal/terms-of-use-for-datasets
    Data URL
    https://wits.worldbank.org/product_concordance.html
    Citation
    World Integrated Trade Solution (WITS), World Bank. n.d. "Product Concordance [dataset]". Accessed in April 2025. https://wits.worldbank.org/product_concordance.html
    Name
    Indonesian exports by firm, product, destination, year
    Note
    Source: Indonesia Customs. The data contain the exports by firm, product, destination, and year for Indonesia for years 2015-2022. Data was accessed in March 2024 via the World Bank Indonesia Country Office and is managed by Csilla Lakatos (clakatos1@worldbank.org). File: "customs_export.dta".
    Access policy
    Data access was granted directly to the study authors by the data manager. It was obtained with a custom data license that does not allow for redistribution and it is not included in the reproducibility package.
    Citation
    Indonesia Customs. n.d. "Indonesian Exports by firm, product, destination, year for 2015-2022 [dataset]". Accessed through the the World Bank Indonesia Country Office. Unpublished data. Accessed in March 2024.
    Name
    KBKI Correspondence with the KKI 1998/1999, KBLI 2009, and HS 2012-Book 5
    Note
    Source: BPS-Statistics Indonesia. The original data contain the correspondence between the commodity code in the Standard Classification of Indonesian Commodities (KBBI), the code of Indonesian Commodities Classification (KKI) 1998/1999, the Standard Classification of Indonesian Business Field (KBLI) 2009 Prints III, the and Harmonized System (HS) 2012. For the reproducibility package, the data used only contains the correspondence between the Standard Classification of Indonesian Business Field (KBLI) 2009 Prints III, and the Harmonized System (HS) 2012. The data was accessed in May 2025. It was manually compiled from the book in the data URL and saved in the Stata file "HS4ISIC4.dta".
    Access policy
    Data is publicly available and included in the reproducibility package.
    License URL
    https://www.bps.go.id/en/term-of-use
    Data URL
    https://www.bps.go.id/en/publication/2015/12/31/31467cc4cc0bc79f11bfe64c/korespondensi-kbkidengan-kki-1998-1999-kbli-2009-hs-2012-buku-5-komoditas-jasa--seksi5-9-.html
    Citation
    BPS-Statistics Indonesia. 2015. "KBKI Correspondence with the KKI 1998/1999, KBLI 2009, and HS 2012-Book 5 [dataset]". ISSN/ISBN: 978-979-064-928-6. Accessed in May 2025. https://www.bps.go.id/en/publication/2015/12/31/31467cc4cc0bc79f11bfe64c/korespondensi-kbkidengan-kki-1998-1999-kbli-2009-hs-2012-buku-5-komoditas-jasa--seksi5-9-.html
    Name
    Indonesia Manufacturing Firm Survey
    Note
    Source: BPS-Statistics Indonesia. The data contain characteristics of Indonesian manufacturing firms for 2009-2019. Data was accessed in March 2024 via the World Bank Indonesia Country Office and is managed by Mochamad Pasha (mpasha1@worldbank.org). Files: "MFSurvey0915.dta", "MFSurvey2017_2019.dta", "Ready2DVAR.dta", "MFSurvey_DVAR.dta".
    Access policy
    Data access was granted directly to the study authors by the data manager. It was obtained with a custom data license that does not allow for redistribution and it is not included in the reproducibility package.
    Citation
    BPS-Statistics Indonesia. n.d. "Indonesia Manufacturing Firm Survey [dataset]". Accessed through the the World Bank Indonesia Country Office. Unpublished data. Accessed in March 2024.
    Data statement

    Some data is restricted and has not been included in the reproducibility package.

    Description

    Output
    Type
    Working Paper
    Title
    Nickel, Steel And Cars: Export Ban And Domestic Value Added In Indonesia
    Description
    Policy Research Working Papers (PRWP)
    Authors
    Author Affiliation Email
    Hiau Looi Kee World Bank hlkee@worldbank.org
    Enze Xie School of Economics, Zhejiang University enzexie@zju.edu.cn
    Date of production

    2025-10-19

    Scope and coverage

    Geographic locations
    Location Code
    Indonesia IDN
    Keywords
    Export Ban Domestic Value Added In Exports Industrial Policy Monopsony Critical Mineral Efficiency Loss
    Topics
    ID Topic Parent topic ID Vocabulary Vocabulary URI
    F13 Trade Policy • International Trade Organizations F1 Journal of Economic Literature (JEL)
    F14 Empirical Studies of Trade F1 Journal of Economic Literature (JEL)
    F52 National Security • Economic Nationalism F5 Journal of Economic Literature (JEL)
    L13 Oligopoly and Other Imperfect Markets L1 Journal of Economic Literature (JEL)
    L52 Industrial Policy • Sectoral Planning Methods L5 Journal of Economic Literature (JEL)

    Disclaimer

    Disclaimer

    The materials in the reproducibility packages are distributed as they were prepared by the staff of the International Bank for Reconstruction and Development/The World Bank. The findings, interpretations, and conclusions expressed in this event do not necessarily reflect the views of the World Bank, the Executive Directors of the World Bank, or the governments they represent. The World Bank does not guarantee the accuracy of the materials included in the reproducibility package.

    Access and rights

    License
    Name URI
    Modified BSD3 https://opensource.org/license/bsd-3-clause/

    Contacts

    Contacts
    Name Affiliation Email
    Hiau Looi Kee World Bank hlkee@worldbank.org
    Reproducibility WBG World Bank reproducibility@worldbank.org

    Information on metadata

    Producers
    Name Abbreviation Affiliation Role
    Reproducibility WBG DECDI World Bank - Development Impact Department Verification and preparation of metadata
    Date of Production

    2025-10-19
    Document version

    1
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