US signs an agreement with Indonesia on Byrd dispute
As previously reported by SteelOrbis, ten countries, including
Indonesia, the EU,
India,
Australia,
Brazil,
Chile and
Japan brought their complaints about “the Byrd Amendment” to the World Trade Organization (WTO).
Deciding that “the Byrd Amendment” is illegal, WTO gave its approval for the affected countries to impose sanctions worth $150 million on US goods such as steel and textiles.
The Byrd Amendment was found illegal since it both fines the importers and also provides competitive advantage to domestic producers as they are given the fines.
However, following the bilateral negotiations between the two countries, an agreement on the issue has been signed.
In line with the deal,
Indonesia will not at this stage request authorization from WTO Dispute Settlement Body (DSB) to suspend concessions or other obligations to the US. If
Indonesia decides in the future to request DSB authorization to suspend concessions or other obligations, it will inform US and consult US on the issue.
Indonesia will retain its right to ask for DSB authorization to suspend concessions or other obligations and the US will not seek to prevent
Indonesia to request for DSB authorization.