TEMPO.CO, Jakarta - Indonesia's nickel export restriction will help local industries produce raw materials and its derivatives such as lithium batteries in the country, the Coordinating Minister of Maritime Affairs and Investment Luhut Binsar Pandjaitan explained. This is the government's move despite the European Union (EU) had filed a lawsuit over the ban to the World Trade Organization, he added.
Nickel derivatives would increase the commodity's added value by millions of US dollars while employing Indonesia's workers, according to the minister.
"I would like to mention that 98 percent of our nickel is exported to China, while Europe's share is only at two percent. It means, we have not been dictated by China to ban nickel export. No countries are dictating to Indonesia over its trade policy," Luhut remarked during his working trip to Tanzania, East Africa.
The EU planned to file a lawsuit over Indonesia's nickel export restrictions with the World Trade Organization, stated the Indonesian permanent representative in Geneva.
In a letter sent on November 22, 2019 to Indonesia's government, the EU had requested a consultation session to the World Trade Organization to settle the dispute.
Indonesia's government has restricted its nickel exports that are largely utilized as raw materials for the EU's stainless steel industry.