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European Union and certain Member states — Certain measures concerning palm oil and oil palm crop-based biofuels


Status: Pending

Subject: GATT 1994, SCM Agreement, TBT Agreement,

Respondent: European Union

Complainant(s): Malaysia,

Third Parties: Argentina, Brazil, Canada, Colombia, Costa Rica, Ecuador, El Salvador, Guatemala, Honduras, United States, China, Norway, Russian Federation, Saudi Arabia, Turkey, Ukraine, United Kingdom, Japan, Korea, India, Australia, Indonesia, Singapore, Thailand,

Dispute Number: DS600

Link to Dispute Site: https://www.wto.org/english/tratop_e/dispu_e/cases_e/ds600_e.htm



On January 15, 2021, Malaysia requested consultations with the European Union (EU), France and Lithuania with respect to certain measures imposed by the EU and EU Member States concerning palm oil and oil palm crop-based biofuels from Malaysia.

Malaysia claimed that certain measures imposed by the EU (the EU renewable energy target, the criteria for determining the high ILUC-risk feedstock, and the sustainability and GHG emission savings criteria) appear to be inconsistent with:

  • Articles 2.1, 2.2, 2.4, 2.5, 2.8, 2.9, 5.1.1, 5.1.2, 5.2, 5.6, 5.8, 12.1 and 12.3 of the TBT Agreement; and
  • Articles I:1, III:4, X:3(a) and XI:1 of the GATT 1994.

Malaysia claimed that certain measures imposed by France (the French General Tax on Polluting Activities — Fuel Tax) and Lithuania (the Law No XI-1375 on renewable energy) appear to be inconsistent with:

  • Articles 3, 3.1(b), 3.2, 5 and 5(c) of the SCM Agreement; and
  • Articles I:1 and III:2 of the GATT 1994.

On January 28, 2021, Colombia requested to join the consultations. On January 29, 2021, Argentina and Indonesia requested to join the consultations. Subsequently, the European Union informed the DSB that it had accepted the requests of Colombia and Indonesia to join the consultations.

On April 15, 2021, Malaysia requested the establishment of a panel. At its meeting on April 28, 2021, the DSB deferred the establishment of a panel.

At its meeting on May 28, 2021, the DSB established a panel. Argentina, Australia, Brazil, Canada, China, Colombia, Costa Rica, Ecuador, El Salvador, Guatemala, Honduras, India, Indonesia, Japan, Korea, Norway, the Russian Federation, Saudi Arabia, Singapore, Thailand, Turkey, Ukraine, the United Kingdom, and the United States reserved their third-party rights.

On July 19, 2021, Malaysia requested the Director-General to compose the panel. On July 29, 2021, the Director-General composed the panel.

Panel Proceedings
Brief Date Brief Description
12/14/2021 U.S. Third-Party Submission