JAKARTA, Oct 2 — The Indonesian Trade Ministry has urged the European Union (US) to adopt World Trade Organisation's (WTO) panel ruling to remove countervailing duties on Indonesian biodiesel imports and regretted the block's move to appeal the WTO ruling.
Last week, the EU said it would appeal the panel ruling, which backed Jakarta's claim that the duties levied by the EU, the third-largest destination for Indonesian palm oil products, broke the trade body's rules.
"The EU's decision to file an appeal on the Dispute Panel DS618 decision is irrelevant," Trade Minister Budi Santoso said in a statement today, pointing out that the WTO Appellate Body ceased functioning in 2019.
"This EU move could be seen as an attempt to buy time," he added.
The EU has imposed duties, ranging from eight per cent to 18 per cent, since 2019, claiming that biodiesel producers in the Southeast Asian nation have benefited from grants, tax benefits, and access to raw materials at below-market prices.
The case joins a string of disputes over biodiesel tariffs and palm oil's link to deforestation, even as the EU and Indonesia finalised negotiations on a free trade deal last month.
