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A World Trade Organization panel supported several key claims made by Indonesia in its complaint against countervailing duties imposed by the European Union on biodiesel imports from the country, according to a copy of the ruling released on Friday.
Indonesia brought the dispute to the WTO in 2023, accusing the EU of violating WTO rules by imposing duties on biodiesel imports from the Southeast Asian country.
In its conclusion, the panel stated: “We recommend that the European Union bring its measures into conformity with its obligations under the SCM Agreement.”
The European Union is the third-largest market for Indonesian palm oil products and an important market for biodiesel made from palm oil. Indonesia is the world’s largest palm oil producer.
Indonesian Coordinating Minister for Economic Affairs Airlangga Hartarto told Reuters on Saturday that the country welcomed the ruling and was preparing to implement it, without providing further details.
The decision may be appealed, but a final ruling is currently not possible because the WTO Appellate Body has been inactive since 2019, following repeated blocking of judge appointments by the first administration of US President Donald Trump.
Source: Reuters