WTO panel supports Indonesia on multiple counts in biodiesel dispute with EU

An official copy of Friday's ruling revealed that a World Trade Organization panel had backed Indonesia in several key claims made in its complaint about countervailing duty imposed by the European Union against biodiesel imported from the country.

In 2023, Indonesia filed a dispute with the WTO alleging that EU duties imposed on biodiesel imports from the Southeast Asian country violated the rules of the body.

The panel concluded that "we recommend that the European Union brings its measures in line with its obligations under SCM Agreement", referring to an agreement of the WTO on countervailing and subsidy measures.

Indonesia's palm oil exports to the EU are third in size. Biodiesel is also a popular product that is made from palm oils. Indonesia is the largest palm oil producer in the world.

No final decision can be made as the WTO top appeals court no longer exists.

The WTO Appellate Body ceased to function in 2019 as a result of the repeated blocking of judge nominations by the first U.S. administration under President Donald Trump. (Reporting and editing by Thomas Seythal, Emma Farge and Riham Alkousaa)

(source: Reuters)