Friday, February 23, 2024

WTO forms panel to review EU import duties on Indonesian biodiesel

Reading Time: 2 minutes
Journalist IBP




The World Trade Organization’s (WTO) dispute settlement body has agreed to form a panel to review the import duties imposed by the European Union (EU) on biodiesel imports from Indonesia. 

This panel formation follows Indonesia’s claim that it has been adversely affected by the EU’s policy, which has imposed duties for five years from December 10, 2019, to December 10, 2024.

Indonesia had requested WTO dispute consultations with the EU regarding the imposition of import duties on biodiesel imports from the Southeast Asian country in August 2023. The consultation request failed to reach an agreement. 

Indonesia then re-requested the WTO to establish a dispute settlement body last month, even though this request had been rejected previously.

“Appealing this case to the WTO is very strategic to maintain market access for Indonesian biodiesel products in the EU market, which is currently subject to countervailing duties ranging from 8% to 18%,” said Budi Santoso, Director General of Foreign Trade, on November 28, 2023.

Paulus Tjakrawan, Chairman of the Indonesian Biofuel Producers Association, stated that the import duties are burdensome for Indonesian biodiesel exporters. They hope the WTO panel can start the legal process promptly.

The WTO stated on Monday night that the United States, the United Kingdom, Norway, the Russian Federation, Thailand, Singapore, Japan, Canada, China, Argentina, and Turkey have submitted their rights to participate in the panel as third parties.

On the other hand, in August 2023, the European Union initiated an investigation into biodiesel from Indonesia, suspecting that it evaded customs duties or import charges in the region by passing through China and the UK. This investigation was conducted following an initial request from the European Biodiesel Board, an association of biodiesel producers in Europe.

“This request contains sufficient evidence that the existing balancing measures against the imports of the product in question have been circumvented by the imports of the product under investigation,” stated the European Commission.

The European Union is the third-largest destination for Indonesian palm oil products. Meanwhile, Indonesia is the world’s largest producer of palm oil.

Journalist IBP






We will provide you with an invoice for your reimbursable expenses.


New to Indonesian market? Read our free articles before subscribing to the premium plan. If you already run your business in Indonesia, make sure to subscribe to the premium subscription so you won’t miss any intelligence & business opportunities.


$550 USD/Year


$45 USD/Month

Cancelation: you can cancel your subscription at any time, by sending us an email

Add keywords to your market watch and receive notification:
Schedule a free consultation with us:

We’ll contact you for confirmation.


Shell’s LNG market outlook predicts a 50 percent increase in liquefied natural gas demand by 2040 as the coal-based industry transitions to gas in China and some countries in South and Southeast Asia.
The Japanese oil giant, Inpex Corporation, is currently seeking long-term gas buyers for the Abadi LNG project in the Masela Block.
In a historic move, the Organization for Economic Cooperation and Development (OECD) has decided to open accession discussions with Indonesia, marking a significant milestone in their collaborative efforts.
State-owned gas distributor PT PGN (PGAS), a subsidiary of Pertamina, has taken a bold step towards expanding its global business operations by orchestrating the sale of seven liquefied natural gas (LNG) cargoes to China. The move, equivalent to 64 billion British thermal units per day (BBtud), signifies PGN’s entrance into the international LNG market and underscores its commitment to diversifying its energy sales portfolio on a global scale.
The United States government congratulates the Indonesian people for their significant participation in the 2024 elections and expresses hope for collaboration with the elected president in addressing climate change.
PT Pertamina Hulu Energi (PHE) has entered into a collaboration with the Italian oil and gas company ENI and Malaysia’s Petronas to explore the potential of oil and gas blocks in Africa and South America.