The Numbers of Palm Oil Biodiesel Dumping in US Are Unreasonable

The Numbers of Palm Oil Biodiesel Dumping in US Are Unreasonable

InfoSAWIT, JAKARTA –On 21 February 2018 US Department of Commerce(USDOC), an institution that determines the numbers of dumping, published the final determination on the anti-dumping investigation on biodiesel from Indonesia and Argentina.

On 19 October 2017, USDOC decided the numbers of preliminary determination on biodiesel producers in Indonesia in the preliminary and final determination, they were, Wilmar Trading PTE Ltd from 50,71% to be 92,52%, PT Musim Mas from 50,71% to be 276,65% andothers from 50,71% to be 92,52%.

According to Ministry of Trade, the significant numbers in the final determination were unreasonable and against to the WTO anti-dumping regulation, such as: (i) the assumption saying that Indonesia is the country within “particular market situation”; and (ii) the clause implementation of ‘adverse fact available’ to one biodiesel producer in Indonesia happens for the producers were not cooperative and made the numbers were higher than other producers in Indonesia.

“The impact of the assumption saying that Indonesia is as the country within particular market situation is that USDOC constructed the domestic selling normal value of the biodiesel producer in Indonesia by NOT using the production cost data from biodiesel producer in Indonesia that has fulfilled the GAPP (generally accepted accounting principle),” Director of Trade Security, Directorate General of Foreign Trade, Ministry of Trade, Pradnyawati, recently said in the official release to InfoSAWIT.

Then the implementation of what USDOC has decided would depend on the decision of US International Trade Commission (USITC) as the US institution that investigates the injury that the domestic industry gets that is caused by import within dumping price. The final determination of USITC would be published on 6 April 2018. If USITC decided, there is no loss that the domestic industry has or the loss has no relationship with causality with biodiesel import, the case would stop and the Issuance of Orders would not exist. But if USITC reveals the loss and the causality relation between the dumping and the loss, US Authority would make Issuance of Orders to US Customs and Border Protection to Indonesia’s biodiesel products on 13 April 2018.

So Indonesia keeps struggling for the interests of its exporters in the USITC through submission to prove that there would be no loss for US biodiesel industries and Indonesia’s biodiesel imports are not the factors of the loss in USITC that might found the loss in US biodiesel industries.

If in the end the Issuance of Orders is made as same as the anti-subsidized import duties that had been decided on 9 November 2017, Indonesia and its biodiesel producers could claim USA in the Dispute Settlement Body World Trade Organization (DSB-WTO) and US Court of International Trade (USCIT).

For information, Indonesia’s biodiesel producers have claimed in USCIT forum on what USDOC has decided and USITC that runs anti-subsidized import dutieson biodiesel products from Indonesia. Indonesia convinced, the exporter companies claiming the decision of Issuance of Orders in USCIT forum would be positive. (T2)


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