<![CDATA[This study aims to determine the economic impact of increased ferronickel (FeNi) exports in Indonesia due to the nickel ore downstream policy implemented on January 1, 2020. The study employs a quantitative approach with Indonesia's 2016 Input-Output model (I-O Table) to measure the multiplier effect on the domestic economy and imports. The analysis reveals that the manufacturing industry sector has a forward linkage of 5.504 and an output multiplier of 1.845, making it the most positively impacted sector. In 2020, the increase in FeNi exports boosted the domestic output of the manufacturing industry sector by IDR40.091 billion or 0.61%. In addition, the agriculture, forestry, fisheries, and mining sectors also benefit. However, this policy also triggers increased imports of capital goods and raw materials to support nickel processing. These findings indicate that the downstreaming of nickel ore can have a significant economic impact, mainly through increased domestic output in the manufacturing industry sector, while indicating the need to strengthen supporting industries to reduce import dependence.]]>
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