The European Biodiesel Board (EBB), which represents the interests of European biodiesel producers, obtained today a favourable judgement from the Court of Justice (case C-112/23 P), which rejected the appeal formed by Indonesian exporters PT Pelita Agung Agrindustri and PT Permata Hijau Palm Oleo against the judgment of the General Court delivered on 14 December 2022 (Case T-143/20).
The ruling from the Court of Justice today upheld in its entirety the ruling of the General Court and put an end to four years of litigation.
Xavier Noyon, Secretary General of the European Biodiesel Board (EBB), said: “The ruling marks a new milestone for EBB in its long and continuous battle to fight against unfair imports of biodiesel and restore a level playing field in the EU”. He adds that “This ruling comes at a critical moment as the countervailing duties will soon expire unless an expiry review investigation concludes there is a need to extend them for another five-year period”.
Previous rulings are upheld
Back in December 2022, the General Court rejected all the claims from Indonesian exporters to annul the countervailing duties on biodiesel imports from Indonesia imposed on 28 November 2019. This ruling was upheld in today’s decision.
This case is important for any industry facing unfair competition resulting from export taxes. In this case, the Commission qualified export taxes applied by the Indonesian government as countervailing subsidies within the meaning of the basic AS Regulation. In addition, this case was based on a threat of material injury.
Appeal rejected
The appeal brought by the Indonesian producers argued that the General Court’s judgment misinterpreted the EU Regulation on protection against subsidised imports, specifically regarding the calculation method of the alleged subsidy and on the determination of the injury. It was also argued that the appealed judgment misinterpreted WTO Panel reports. The Court, in its decision released today rejected these claims.
WTO
EBB notes that Indonesia has now brought this issue before the WTO, as it anticipated the claims from Indonesian exporters to be unsuccessful before the EU courts. EBB remains confident that the WTO ruling would support the work done by the European Commission during the investigation, notably in the light of partial cooperation from the Indonesian counterparts.
Secretary General Xavier Noyon recalls that “for over 16 years now, the EBB has been fighting against unfair competition from third countries, to ensure the long-term viability of the EU biodiesel industry, protect jobs across the EU-27 Member States, R&D and progressive independence over fossil fuels. EBB remains committed to fight against any unfair trading practices that could jeopardise the full development of the EU biodiesel industry”.
