The response to Indonesia’s victory over the EU in its dispute regarding biodiesel duties has been strong. Current and former officials, as well as industry figures, have weighed in with a positive response:
Trade Minister Budi Santoso said:
“The WTO Panel considers that the compensatory import duties imposed by the EU on Indonesian biodiesel products are not based on objective evidence … This victory proves that the Government of Indonesia has consistently complied with international trade rules without imposing a distorted trade policy for international trade, as alleged by the EU. We urge the EU to immediately revoke tariffs on goods that are not in accordance with these WTO rules,”
Indonesian member of parliament Christiany Eugenia Paruntu stated:
“This victory is not only about protecting the biodiesel industry, but also proving that Indonesia is able to enforce rules-based trade. We have succeeded in fighting discriminatory treatment that has been detrimental to national interests … So far, our palm oil has continued to be pressured with a bad stigma, even though Indonesian palm oil products are the backbone of the national economy. With this WTO decision, Indonesia’s position in the global market is getting stronger …
“The government must remain vigilant, lest this victory become a momentary euphoria. We must prepare a follow-up strategy, strengthen trade diplomacy, and improve sustainability standards.”
Former Indonesian Director General of Trade Negotiations Iman Pambogyo in the Jakarta Globe stated:
“The DS618 ruling is far more than a legal formality. For industry players, it breathes new life into biodiesel producers and millions of palm oil farmers upstream in the supply chain. For developing countries, it demonstrates that the WTO still matters as a guardian of the global rule of law — even when the opponent is an economic powerhouse like the EU. But challenges remain.”
Indonesia’s Director General of International Trade Negotiations Djatmiko Bris Witjaksono said at a press conference:
“The government must ensure that [the decision] can be followed up with a scenario that is in favor of Indonesia, because there are still several situations that must be observed (related to the WTO panel’s decision) … We can’t stop the EU from appealing the panel ruling because they have the right to do so … We can’t say the stance that the EU will take. But we do hope that they will just accept the ruling.”.
Catra de Thouars, Vice Chair of Aprobi, Indonesia’s biodiesel producer association, said:
“The support from the WTO is a positive step and good news related to Indonesia’s trade abroad. This support is one of the ways to get justice in foreign trade … We would like to thank the Indonesian government, industry players, and legal experts who worked well together in the WTO session. Without good cooperation and collaboration, it will not be easy for Indonesia to face the European Union regarding the biodiesel dispute. Of course, this decision also gives new breath and enthusiasm for stakeholders because there are still other challenges such as EUDR …
“The European Union is an important market for Indonesian palm oil and biodiesel products. Indonesia itself is the largest producer of palm oil in the world. The WTO Panel decision affirms Indonesia’s position in fighting for fair market access for national superior products.”
As many have pointed out, this represents yet another case of the European Union illegally attempting to block palm from European markets — and this is likely to continue.