Pub Date : 2023-06-16DOI: 10.26593/sentris.v4i1.6794.86-100
Kasistha Cantyani, Jason Matthew, Sesilia Rainaputri Jans, Aureishia Huang
Nickel ore export ban has been imposed by Indonesia as the leading actor on the global nickel supply chain which created a disruption and has not been perceived well by other countries, especially the European Union (EU) countries. This paper will analyze the implications caused by the export ban to EU countries and the actions following it, including the enactment of the palm oil ban. Starting with the World Trade Organization (WTO) panel, the EU’s strategy of forcing Indonesia to lift the export ban has not yet succeeded. With the tit-for-tat strategy, this paper identifies the EU’s palm oil ban as a form of retaliation for the Indonesian nickel ore export ban. Although the tit-for-tat strategy often is used in a positive-sum game, the conflict between Indonesia and the EU is a negative-sum game with both parties putting their economies at risk.
Keywords: nickel ore export ban, palm oil ban, tit-for-tat strategy, Indonesia, European Union
REFERENCES
Adam, B., & Ahamat, H. (2022). Indonesia’s Mineral Export Prohibition and Legality of Export Duties Under the GATT Rules. Sriwijaya Law Review, 6(2), 239.
https://doi.org/10.28946/slrev.vol6.iss2.1661.pp239-253
Bloomberg. (2022, September 30). Export ban triples nickel investment in Indonesia’s Morowali. Mining Weekly. https://www.miningweekly.com/article/export-ban-triples-nickel-investment-in indonesias-morowali-2022-09-30
BNamericas - Why nickel prices are rising – and will rema... (2022, March 28). BNamericas.com. https://www.bnamericas.com/en/interviews/why-nickel-prices-are-rising--and-will-remain high#:~:text=The%20main%20point%20that%20will
Codingest. (2023, January 16). Threats in Europe, for Indonesian Palm Oil in 2023. BPDP. https://www.bpdp.or.id/en/threats-in-europe-for-indonesian-palm-oil-in
2023#:~:text=The%20EU
Commodity Watch Indonesia: Zooming In On Nickel, A Valuable Metal With A Bright Future | Indonesia Investments. (2022, June 7). Www.indonesia-Investments.com. https://www.indonesia investments.com/business/business-columns/commodity-watch-indonesia-zooming-in-on-nickel a-valuable-metal-with-a-bright-future/item9521
Decena, K. (2019, May 9). Chinese firms lay out processing facility plans after Indonesian ore export ban. Www.spglobal.com. https://www.spglobal.com/marketintelligence/en/news insights/trending/l19hkna_dqquro-fmklifa2
Dunne, T., Kurki, M., & Smith, S. (2021). International relations theories : discipline and diversity (5th ed., p. 119). Oxford University Press.
EU Needs Nickel, But Discriminates Palm Oil. (2021, March 8). Indonesian Palm Oil Association (GAPKI IPOA). https://gapki.id/en/news/19858/eu-needs-nickel-but-discriminates-palm-oil European Steel in Figures 2022. (n.d.). In EUROFER. EUROFER. Retrieved January 10, 2023, from https://www.eurofer.eu/assets/publications/brochures-booklets-and-factsheets/european steel-in-figures-2022/European-Steel-in-Figures-2022-v2
{"title":"The Prisoner’s Dilemma: Indonesia and the European Union in Export Commodity Disputes","authors":"Kasistha Cantyani, Jason Matthew, Sesilia Rainaputri Jans, Aureishia Huang","doi":"10.26593/sentris.v4i1.6794.86-100","DOIUrl":"https://doi.org/10.26593/sentris.v4i1.6794.86-100","url":null,"abstract":"Nickel ore export ban has been imposed by Indonesia as the leading actor on the global nickel supply chain which created a disruption and has not been perceived well by other countries, especially the European Union (EU) countries. This paper will analyze the implications caused by the export ban to EU countries and the actions following it, including the enactment of the palm oil ban. Starting with the World Trade Organization (WTO) panel, the EU’s strategy of forcing Indonesia to lift the export ban has not yet succeeded. With the tit-for-tat strategy, this paper identifies the EU’s palm oil ban as a form of retaliation for the Indonesian nickel ore export ban. Although the tit-for-tat strategy often is used in a positive-sum game, the conflict between Indonesia and the EU is a negative-sum game with both parties putting their economies at risk.
 Keywords: nickel ore export ban, palm oil ban, tit-for-tat strategy, Indonesia, European Union
 REFERENCES
 
 Adam, B., & Ahamat, H. (2022). Indonesia’s Mineral Export Prohibition and Legality of Export Duties Under the GATT Rules. Sriwijaya Law Review, 6(2), 239. 
 https://doi.org/10.28946/slrev.vol6.iss2.1661.pp239-253 
 Bloomberg. (2022, September 30). Export ban triples nickel investment in Indonesia’s Morowali. Mining Weekly. https://www.miningweekly.com/article/export-ban-triples-nickel-investment-in indonesias-morowali-2022-09-30 
 BNamericas - Why nickel prices are rising – and will rema... (2022, March 28). BNamericas.com. https://www.bnamericas.com/en/interviews/why-nickel-prices-are-rising--and-will-remain high#:~:text=The%20main%20point%20that%20will 
 Codingest. (2023, January 16). Threats in Europe, for Indonesian Palm Oil in 2023. BPDP. https://www.bpdp.or.id/en/threats-in-europe-for-indonesian-palm-oil-in 
 2023#:~:text=The%20EU 
 Commodity Watch Indonesia: Zooming In On Nickel, A Valuable Metal With A Bright Future | Indonesia Investments. (2022, June 7). Www.indonesia-Investments.com. https://www.indonesia investments.com/business/business-columns/commodity-watch-indonesia-zooming-in-on-nickel a-valuable-metal-with-a-bright-future/item9521 
 Decena, K. (2019, May 9). Chinese firms lay out processing facility plans after Indonesian ore export ban. Www.spglobal.com. https://www.spglobal.com/marketintelligence/en/news insights/trending/l19hkna_dqquro-fmklifa2 
 Dunne, T., Kurki, M., & Smith, S. (2021). International relations theories : discipline and diversity (5th ed., p. 119). Oxford University Press. 
 EU Needs Nickel, But Discriminates Palm Oil. (2021, March 8). Indonesian Palm Oil Association (GAPKI IPOA). https://gapki.id/en/news/19858/eu-needs-nickel-but-discriminates-palm-oil European Steel in Figures 2022. (n.d.). In EUROFER. EUROFER. Retrieved January 10, 2023, from https://www.eurofer.eu/assets/publications/brochures-booklets-and-factsheets/european steel-in-figures-2022/European-Steel-in-Figures-2022-v2","PeriodicalId":498746,"journal":{"name":"Sentris: Jurnal Mahasiswa Hubungan Internasional","volume":"34 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2023-06-16","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"135571650","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}