On 17 August, the European Commission decided to open an investigation into the possible circumvention of its definitive countervailing duty on Indonesian biodiesel. It believes it has received “sufficient evidence” that a change in trade flows (from Indonesia, China and the UK to the EU) has occurred following the imposition of European countervailing measures in 2019.
In the Commission’s view, these imports from China and the UK do not appear to be justified other than by the existence of the countervailing duty. This is why it is launching an investigation that could potentially lead to additional measures targeting circumventing countries.
Interested parties have fifteen days from 17 August to send their comments to the Commission regarding the enquiry.
At the same time, and with regard to the 2019 countervailing duty on biodiesel, on 15 August Indonesia requested the opening of consultations at the World Trade Organization (WTO). Jakarta considers that the EU’s countervailing duty does not comply with the WTO Agreement on Subsidies and Countervailing Measures (SCM) or the General Agreement on Tariffs and Trade (GATT). (Original version in French by Léa Marchal)