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Image header Agence Europe
Europe Daily Bulletin No. 13219
EXTERNAL ACTION / Indonesia

EU plans to impose countermeasures against Jakarta, which is blocking dispute settlement procedure on nickel exports

On Friday 7 July, the European Commission launched a public consultation with a view to potentially using the regulation on compliance with international trade rules for the first time in its dispute with Indonesia over restrictions on nickel exports. In December 2022, the World Trade Organization (WTO) panel of first instance ruled in favour of the EU and described the Indonesian measures as illegal (see EUROPE 13074/26), but Jakarta appealed against this decision a few days later (see EUROPE 13083/37). The process is therefore at a standstill, given that the WTO Appellate Body is not operational. 

This is the type of situation to which the regulation for compliance with international trade rules (‘enforcement regulation’) must respond. It allows the EU to take countermeasures against a third country that blocks a dispute procedure.

The Commission is calling on stakeholders to submit their comments on the subject by 11 August. It will then assess the results and, if necessary, impose countermeasures against Indonesia. These could include additional customs duties or import/export restrictions. At this stage, the Commission has identified the steel sector for possible measures.

See the public consultation: https://aeur.eu/f/7zj (Original version in French by Léa Marchal)

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