EU's tariffs on Indonesian stainless steel curtailed exports, Jakarta says

<html xmlns=""><head><title>EU's tariffs on Indonesian stainless steel curtailed exports, Jakarta says</title></head><body>

JAKARTA, Jan 31 (Reuters) -The European Union's anti-dumping tariffs on Indonesian stainless steel had cut exports severely, an Indonesian trade ministry official said on Tuesday, explaining the country's decision to complain to the World Trade Organisation.

The WTO said last week that Indonesia has requested dispute consultations with the EU regarding the anti-dumping duties.

The EU last year imposed an anti-subsidy duty of 21% on imports of stainless steel cold-rolled flat products from Indonesia, which came on top of anti-dumping duties imposed in November 2021, ranging between 10.2% and 20.2%.

"The EU policy is not in line with WTO rules. Indonesian exports to the EU was around half a billion dollars(annually) and these (the tariffs) had reduced the competitiveness of Indonesian products," Trade Ministry senior official Djatmiko Bris Witjaksono told Reuters.

After the first implementation of the anti-dumping duties, Indonesia's shipments to the EU dropped to around $229 million in 2021, he said.

Following the additional anti-subsidy duty, they shrank further to around $40 million in January-November of last year, he said.

The EU Commission said the bloc imposed the tariffs "to counter unfair state-sponsored subsidies", which it said involved preferred financing from China and Indonesia's ban of nickel ore exports.

Jakarta banned exports of unprocessed nickel ore from 2020 to attract investment into developing a downstream industry at home.

The WTO last year ruled in favour of the EU in a dispute over the ban. Indonesia is appealing.

Separately, Indonesia and the EU are currently in negotiations for a comprehensive economic partnership agreement, even though they are also in dispute over the EU's treatment of Indonesian palm oil.

Reporting by Fransiska Nangoy
Editing by Gayatri Indonesia, Ed Davies


Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.

All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.

Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.

We are using cookies to give you the best experience on our website. Read more or change your cookie settings.

Risk Warning: Your capital is at risk. Leveraged products may not be suitable for everyone. Please consider our Risk Disclosure.