EU Can Appeal Indonesia Palm Oil Case via Temporary Mechanism, Tariff Outcome Uncertain

Recently, a WTO ruling favored Indonesia, determining that most of the EU’s 8%-18% anti-subsidy tariffs on Indonesian palm oil, imposed since 2019, are invalid. The European Commission must decide by October 22 whether to remove the tariffs or file an appeal.

As the WTO Appellate Body is currently frozen, the EU can choose to appeal through a temporary mechanism to prevent the case from being indefinitely stalled. This decision not only affects EU-Indonesia trade but could also impact the global palm oil market.