The European Union has brought a dispute in the World Trade Organization (WTO) against Indonesian export restrictions for raw materials used in production of stainless steel. These restrictions unfairly limit access of EU producers to raw materials for steel production, notably nickel as well as scraps, coal and coke, iron ore and chromium.

The EU is also challenging subsidies that encourage use of local content by Indonesian producers and give preference to domestic over imported goods, which goes against WTO rules. Trade Commissioner Cecilia Malmström said: “EU steel producers are under a lot of pressure and are suffering from the consequences of global overcapacity and unilateral trade restrictions. The export restrictions imposed by Indonesia put further jobs in the EU’s steel industry at risk. Despite our concerted efforts, Indonesia has maintained the measures in place and even announced a new export ban for January 2020. We must now act to ensure that international trade rules are respected. That’s why today we are taking a legal action in the WTO to get these measures removed as soon as possible.”

This decision affirms the EU’s commitment to resolute and strong enforcement of multilateral and bilateral trade rules where European interests are at stake. It also underlines the EU’s continued commitment to the WTO and its dispute settlement system as an impartial and efficient means to get global trade rules upheld and enforced.