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The openness in Free Trade era changes the policy of international trade. Along with the tariff reduction, the use of Technical Barriers to Trade (TBT) increases and is considered as a trade barrier. Assuming that the implementation of TBT harmonization policy has made ASEAN market more integrated, this research aims to estimate the impacts of ASEAN standard harmonization on the firms’s productivity growth in electronics industry. Using the firms' data of electronics industry during 20052014 based on BPS “Large Medium Industry survey” and the Generalized Least Square (GLS) method, empirical evidence shows that when ASEAN standard harmonization increases by 1 unit, it increases firms’ productivity growth in the electronics sector by 13, 8%.

The Impacts of Harmonization of Technical Barriers to Trade (TBT) in ASEAN on the Productivity Growth of Indonesia's Electronics Firms