The level of intra-industry trade can be measured by the intra-industry trade index
T = 1 - IX – MI
Where X and M represent, respectively, the value of exports and imports of a particular industry or commodity group and the vertical bars (I) in the numerator of the equation denote the absolute value. The value of T ranges from 0 to 1. T=0 when a country only exports or only imports the good in question. On the other hand, if the exports and the imports of a good are equal, T=1