South China Morning Post reported that Indonesia plans to appeal against the World Trade Organization’s EU leaning ruling on its nickel ore export ban. Indonesian government’s decision to appeal was revealed on last week by Indonesia’s Energy & Mineral Resources Minister Mr Arifin Tasrif, ahead of the organization’s formal announcement on 30 November. Mr Arifin told a House of Representatives hearing that the “WTO’s decision does not yet have permanent legal force so there is still an opportunity for appeal.”He added policies do not need to be changed or revoked before the body’s Dispute Settlement Body makes a final decision.With world’s largest reserve of nickel ore, Indonesia implemented nickel export ban in January 2020 ban to generate higher-value nickel products and help Jakarta become part of the electric vehicles global supply chain. However, EU viewed the move as a violation of Article XI of the 1994 General Agreement on Tariffs and Trade, which says all WTO members must not prohibit or restrict imports or exports, other than duties, taxes and other such charges. The European bloc said Jakarta’s restrictions unfairly limited access to nickel ore and other raw materials.Since the nickel ore export ban was implemented, Indonesia has earned billions of dollars from stainless steel producers, battery-makers and car manufacturers who arrive to set up smelters or other nickel processing facilities. Most are Chinese firms.Chinese battery giant Contemporary Amperex Technology, a Tesla supplier, recently signed a deal with the Hong Kong-based CMB International Capital Corporation and the Indonesia Investment Authority, the country’s sovereign wealth fund, to target as much as USD 2 billion for the development of an Indonesian end-to-end EV value chain. CATL has also set up a joint venture with Chinese stainless-steel giant Tsingshan Holding Group and Chinese battery recycler GEM to produce lithium-ion batteries in Central Sulawesi, Indonesia’s nickel mining hub.Other players include South Korean battery maker LG Energy Solution, LG Chem, and carmakers Hyundai and Toyota. Taiwanese tech giant Foxconn also wants to collaborate with local firms to manufacture batteries.
South China Morning Post reported that Indonesia plans to appeal against the World Trade Organization’s EU leaning ruling on its nickel ore export ban. Indonesian government’s decision to appeal was revealed on last week by Indonesia’s Energy & Mineral Resources Minister Mr Arifin Tasrif, ahead of the organization’s formal announcement on 30 November. Mr Arifin told a House of Representatives hearing that the “WTO’s decision does not yet have permanent legal force so there is still an opportunity for appeal.”He added policies do not need to be changed or revoked before the body’s Dispute Settlement Body makes a final decision.With world’s largest reserve of nickel ore, Indonesia implemented nickel export ban in January 2020 ban to generate higher-value nickel products and help Jakarta become part of the electric vehicles global supply chain. However, EU viewed the move as a violation of Article XI of the 1994 General Agreement on Tariffs and Trade, which says all WTO members must not prohibit or restrict imports or exports, other than duties, taxes and other such charges. The European bloc said Jakarta’s restrictions unfairly limited access to nickel ore and other raw materials.Since the nickel ore export ban was implemented, Indonesia has earned billions of dollars from stainless steel producers, battery-makers and car manufacturers who arrive to set up smelters or other nickel processing facilities. Most are Chinese firms.Chinese battery giant Contemporary Amperex Technology, a Tesla supplier, recently signed a deal with the Hong Kong-based CMB International Capital Corporation and the Indonesia Investment Authority, the country’s sovereign wealth fund, to target as much as USD 2 billion for the development of an Indonesian end-to-end EV value chain. CATL has also set up a joint venture with Chinese stainless-steel giant Tsingshan Holding Group and Chinese battery recycler GEM to produce lithium-ion batteries in Central Sulawesi, Indonesia’s nickel mining hub.Other players include South Korean battery maker LG Energy Solution, LG Chem, and carmakers Hyundai and Toyota. Taiwanese tech giant Foxconn also wants to collaborate with local firms to manufacture batteries.
