Indonesia appeals WTO ruling on nickel ore export ban dispute

Nickel smelter in Sorowako, Indonesia. (Image by Marcelo Coelho, courtesy of Vale).

Indonesia has filed an appeal against the World Trade Organization to assert its right to ban exports of metal ores.

The appeal was sent to WTO members on Monday, according to a notice on the organization’s website. WTO had earlier ruled in favor of the European Union’s complaint that Indonesia’s ban on nickel ore exports was hurting its steel industries.

The dispute started in 2021 when the EU asked for the establishment of a panel, saying that the Southeast Asian country’s requirement for minerals to be processed locally and its failure to promptly publish the policy are inconsistent with WTO rules.

A panel of WTO experts last month urged the country, which is the world’s largest nickel ore producer, to bring its measures in line with WTO obligations. The ruling could jeopardize Indonesia’s bid to push the resource-rich nation up the commodities value chain and develop local metal refineries.

(By Annie Lee, with assistance from Yudith Ho)

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