WTO Decision and Its Implications for the Indonesia-EU Trade Agreement

This study explores the implications of the World Trade Organization (WTO) decisions on trade relations between Indonesia and the European Union (EU), particularly in the context of disputes over nickel exports and palm oil regulations. The need for fair and balanced trade arrangements highlights the relevance of WTO rulings as they shape both domestic policy adjustments and bilateral negotiations. The purpose of this study is to analyze Indonesia’s legal and political position in WTO disputes with the EU and to identify the extent to which WTO decisions influence the Indonesia–EU Comprehensive Economic Partnership Agreement (IEU-CEPA). The method used is a qualitative approach with a descriptive design, involving data collection through literature reviews, official WTO documents, and policy analysis. The results of the study show that WTO decisions create both challenges and opportunities for Indonesia. On one hand, they limit Indonesia’s regulatory autonomy in implementing export restrictions and protective measures. On the other hand, they push Indonesia to harmonize its regulations with international trade standards and strengthen its bargaining position in bilateral negotiations with the EU. However, the effectiveness of WTO rulings is often constrained by political-economic interests, enforcement limitations, and prolonged dispute resolution mechanisms