Linkages, Multiplier Effects of Textile and Clothing Industry in Java from Global Trade Perspective: Inter-Regional Input-Output Analysis

Iklimah Nur Rachmah; Eka Puspitawati; Andika Pambudi; Yuri Mansury

doi:10.2991/978-2-38476-595-9_6

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Linkages, Multiplier Effects of Textile and Clothing Industry in Java from Global Trade Perspective: Inter-Regional Input-Output Analysis

Authors

Iklimah Nur Rachmah¹, Eka Puspitawati¹^{, *}, Andika Pambudi¹, Yuri Mansury²

¹Universitas Pertamina, Faculty of Economics and Business, Jl. Teuku Nyak Arief, Simprug, Jakarta, Indonesia

²Illinois Institute of Technology, Chicago, United States

^*Corresponding author. Email: eka.p@universitaspertamina.ac.id

Corresponding Author

Eka Puspitawati

Available Online 8 July 2026.

DOI: 10.2991/978-2-38476-595-9_6 How to use a DOI?
Keywords: Global Trade; Inter Regional Input-Output; Multiplier Effect; Sectoral Linkages; Textile and Clothing Industry
Abstract: This study analyzes the strategic role of the textile and clothing industry in Java through sectoral linkages and multiplier effects analysis, considering strategic risks within the context of global trade. This study uses Indonesia’s Inter-Regional Input-Output (IRIO) table data according to 6 islands and 52 industries in 2016, sourced from Statistic Indonesia. The results indicate that the textile and clothing industry in Java has a backward linkage of 0.51. The multiplier output value of 1.92 indicates that every 1 million rupiah increase in final demand for this industry will drive the growth of output across all sectors by 1.92 million rupiah. Meanwhile, the labor multiplier value of 0.070 reflects the labor-intensive role of this sector and its significant potential in job creation. This condition is particularly vulnerable to changes in global trade policy, fluctuations in the price of imported raw materials, and protectionist policies in major export destination countries. For this reason, mitigation strategies are needed to maintain the sectors’ stability in the face of uncertain global dynamics.
Copyright: © 2026 The Author(s)
Open Access: Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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Volume Title: Proceedings of the International Conference on Contemporary Risk Studies (ICONIC-RS 2025)
Series: Advances in Economics, Business and Management Research
Publication Date: 8 July 2026
ISBN: 978-2-38476-595-9
ISSN: 2352-5428
DOI: 10.2991/978-2-38476-595-9_6 How to use a DOI?
Open Access: Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

Cite this article

ris enw bib

TY  - CONF
AU  - Iklimah Nur Rachmah
AU  - Eka Puspitawati
AU  - Andika Pambudi
AU  - Yuri Mansury
PY  - 2026
DA  - 2026/07/08
TI  - Linkages, Multiplier Effects of Textile and Clothing Industry in Java from Global Trade Perspective: Inter-Regional Input-Output Analysis
BT  - Proceedings of the  International Conference on Contemporary Risk Studies (ICONIC-RS 2025)
PB  - Atlantis Press
SP  - 69
EP  - 85
SN  - 2352-5428
UR  - https://doi.org/10.2991/978-2-38476-595-9_6
DO  - 10.2991/978-2-38476-595-9_6
ID  - Rachmah2026
ER  -

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