InfoSAWIT, JAKARTA - The WTO Panel's ruling in August 2025 became a turning point. Indonesia was declared not guilty of biodiesel subsidy allegations, paving the way for the lifting of the European Union's import duties that have burdened exports. But it's not over yet as it awaits the EU's next action.

Behind a cup of coffee served on the negotiation table in Geneva, there is a long story about how Indonesia defended its rights over a strategic commodity: palm oil. Over the past two years, government representatives along with legal teams have worked hard to face trade disputes with the European Union accusing Indonesian biodiesel exports of harming their industry.

On August 22, 2025, the hard work finally bore fruit. The World Trade Organization (WTO) Dispute Settlement Panel ruled that the European Union's allegations were unfounded. Indonesia was declared not to have conducted illegal subsidies or practices causing material harm to the European biodiesel industry.

For the Indonesian government, this ruling is more than just a legal victory. It is a strong signal that Indonesia's palm oil industry governance has moved towards greater transparency and compliance with global trade rules. (*)

For more details, read InfoSAWIT Magazine September 2025 Edition