On 10 November 2012 the EC has initiated anti-subsidy investigation on biodiesel originating from Indonesia and Argentina. The investigation is based on a complaint by European Biodiesel Board on 27 September 2012 which alleges that biodiesel imports from Indonesia and Argentina are being subsidized and therefore is causing material injury to the Union industry.

The product subject to this investigation is fatty-acid mono-alkyl esters and/or paraffinic gasoils obtained from synthesis and/or hydro-treatment, of non-fossil origin, in pure form or as included in a blend which falls within CN codes of ex 1516 20 98, ex 1518 00 91, ex 1518 00 95, ex 1518 00 99, ex 2710 19 43, ex 2710 19 46, ex 2710 19 47, 2710 20 11, 2710 20 15, 2710 20 17, ex 3824 90 97, 3826 00 10 and ex 3826 00 90.

The alleged subsidies scheme consist of the grant of inputs (soybean or soybean oil in case of Argentina and palm oil in case of Indonesia whether refined or unrefined) at below-market prices by means of government policies implemented and enforced by a policy of export taxes.

Prima facie evidence for this case as provided by the complainant shows that the volume and the prices of the imported biodiesel from Indonesia and Argentina have resulted in substantial adverse effects on the overall performance and the financial situation of the Union industry.

For the purpose of investigation procedure, the Commission will send questionnaires to selected exporting producers, to any known association of exporting producers and to the authorities of both countries which has to be completed in 37 days. The whole investigation process shall be concluded within 13 months of the date of the publication of the notice of the anti dumping investigation in the Official Journal of the European Union and provisional measures may be imposed no later than nine months from the publication of such notice.