RI to file appeal on dumping allegations
RI to file appeal on dumping allegations
The Jakarta Post, Jakarta
With some Indonesian products subject to new import duties due to
dumping allegations, the Ministry of Trade plans to take 14 cases
to the World Trade Organization's dispute settlement body for
appeal.
"The body is an objective institution as one of the WTO's
instruments. Any party -- even a developing country -- can file
an appeal and win," said Minister of Trade Mari E. Pangestu
recently.
Indonesia won its first case on WTO appeal over the import
duty imposed by South Korea on its paper products late last
month.
As of October, the trade ministry's directorate for trade
safeguard had listed 14 Indonesian products currently facing
dumping allegations from 10 countries.
The dumping allegations brought by Malaysia, South Africa and
Turkey were on synthetic fiber product polyethylene terephthalate
(PET), the United States on lined paper school supplies,
Australia on low linear density polyethylene (LLDPE) and the
European Union on synthetic staple fibers of polyester.
The dumping allegation brought by Malaysia have caused losses
to Indonesian industry on PET products exported to the country.
As of September, Malaysia imposed provisional safeguard measures
ranging from 6.33 percent to 17.69 percent on synthetic fiber
products from four Indonesian companies.
In the first nine months of 2004, Indonesia exported 975,310
kilograms of synthetic fiber products worth US$853,445.
Meanwhile, in 2003, Indonesia exported 3.78 tons at the value of
$2.9 billion.
Indonesia has yet to file the case with the WTO.
"Our next step is to file an appeal for a sunset review on
Australia's LLDPE allegations," said the Ministry of Trade's
director for trade safeguard Martua Sihombing, adding that the
appeal would be filed by the year's end.
A sunset review is a periodic review carried out toward the
end of the period for which the antidumping duty is valid.
According to the directorate, the Australian minister for
justice and customs imposed antidumping duties on the product
without detailing the percentage.
A country can impose antidumping duties on products sold at a
lower price than the price on the home market. This is a sort of
protective measure for its own industry.
Antidumping duties are imposed for five years and countries
whose products are subject to them can request a review annually
with the WTO's dispute settlement body.
"The private sector must work very closely with us in this
matter to be able to pass the investigation phase and prove that
we did not take such a (protective) policy, or it would hamper
our exports' sustainability," said Martua.