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 sided with Indonesia in several important claims made in its complaint against countervailing duty imposed by the European Union for biodiesel imported from the country.

In 2023, Indonesia filed a dispute with the WTO alleging that the EU imposed duties on biodiesel imports from Southeast Asia in violation of 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.

Airlangga Hartarto, the chief economic minister, said on Saturday that Indonesia is appreciating the ruling and preparing to implement it. He did not provide any further details.

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 Trump administration. (Reporting and editing by Thomas Seythal; Additional reporting in Jakarta by Ananda Teresia; Reporting by Riham alkousaa, Emma Farge)

(source: Reuters)