Indonesia is preparing to sue the Australian government over the decision to impose an anti-dumping import duty on Indonesia-made A4 copy paper, according to reports in Jakarta.
Indonesia Expat, a bi-weekly English language publication based in Jakarta, says Indonesia is also preparing to report Australia to the World Trade Organisation’s Dispute Settlement tribunal.
Indonesian Trade Security Director of Directorate General of International Trade Pradnyawati is quoted as saying the dumping accusation is unfair and the directorate has submitted a rebuttal to the Australian government.
“We’ve submitted the rebuttal through various ways, including consultation, ministerial letter, as well as casting a lawsuit through Australia’s Anti-Dumping Review Panel.”
Pradnyawati said the decision made by the Australian authorities was not based on evidence, just assumptions and therefore Indonesia will report Australia to the World Trade Organisation’s Dispute Settlement tribunal.
Indonesia Expat said that the dumping investigation focusing on Indonesian A4-size producers began in April 2016 following changes to the Australian domestic paper industry. Australia’s paper industry claimed sales had suffered and domestic market coverage continued to decline.
In April, Australian Paper – Australia’s only office paper manufacturer - welcomed the federal government’s decision to introduce dumping duties on A4 copy paper exported to Australia from Indonesia, Brazil, China and Thailand.
The Australia Indonesia Business Council slammed the decision at the time, warning its impact would be "potentially lethal" for free trade negotiations.