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WTO Rules in Favor of Indonesia in EU Anti-Dumping Case
Thursday, February 15, 2018
The World Trade Organization (WTO) ruled in favor of Indonesia in the case the country brought against the EU anti-dumping duties on Indonesian biodiesel exports. Initiated by Indonesia in 2014, the case was a response to EU anti-dumping measures enacted on Argentine and Indonesian biodiesel in 2013, according to a Reuters report.
The WTO ruling stated that the EU had acted inconsistently with several of its policies by disregarding biodiesel prices recorded by Indonesian producers and failing to correctly calculate a normal profit margin. The bloc now had to conform its measures to WTO agreements.
The EU originally imposed duties, ranging from 8.8% to 20.5% for Indonesia, based on claims that biodiesel producers in both Indonesia and Argentina imposed an export duty on the raw material for their biodiesel, palm oil in Indonesia and soyabeans in Argentina, which allowed their biodiesel producers to lower their costs and unfairly dump biodiesel into Europe. This situation, the EU claimed, forced it to construct a “normal value” for the biodiesel as the markets in both origin countries were heavily regulated.