Dispute panel established to review EU duties on biodiesel imports from Indonesia

The Dispute Settlement Body of the World Trade Organization agreed at its Nov. 27 meeting to a request from Indonesia for the establishment of a dispute panel to review countervailing duties imposed by the European Union on imports of biodiesel from Indonesia.

Indonesia submitted its second request for the establishment of a panel to determine whether countervailing duties imposed by the EU on imports of biodiesel from Indonesia are in line with WTO rules.

The EU said it was not in a position to agree to Indonesia's first request at an Oct. 26 DSB meeting.

Indonesia reiterated its right to protect its national interests and urged the EU to bring its measures into conformity with WTO provisions.

The EU said it believes the measures at stake are fully justified, adding that it is confident its measures will be declared in line with WTO law.

The DSB agreed to the establishment of the panel.

The U.S., U.K., Norway, the Russian Federation, Thailand, Singapore, Japan, Canada, China, Argentina and Turkey reserved their third-party rights to participate in the panel proceedings.

On Aug. 11, Indonesia requested consultations with the EU with respect to the definitive countervailing duties on imports of biodiesel from Indonesia, as well as the underlying investigation that led to the imposition of these duties.

Indonesia claimed that the definitive countervailing duties on imports of biodiesel from Indonesia and the investigation leading to their imposition appear to be inconsistent with numerous WTO articles.

On Oct. 13, Indonesia requested the establishment of a panel.

At its meeting Oct. 26, the DSB deferred the establishment of a panel.

On Nov. 27, however, DSB agreed to establish the dispute panel after Indonesia’s second request.