Analysis of the Impact of the EU Deforestation Regulation (EUDR) on Indonesia's Palm Oil Export Commodities

Indonesia’s economy is partly dependent on exports, and palm oil exports make a significant contribution to the national economy. Crude Palm Oil (CPO) is exported to various countries. Indonesia’s export policies may affect the export system itself. This research employs a normative juridical method. The approach used is a statutory approach. The legal materials are derived from primary and secondary legal sources, and the data for this research are obtained through library research.The urgency of this research arises from the fact that in 2023 the European Union issued the EU Deforestation Regulation (EUDR), which stipulates that products placed on the European Union market must not originate from land that has undergone deforestation or forest degradation after 31 December 2020. One of the regulated products is palm oil, including its processed products such as crude palm oil. This European Union regulation affects Indonesia’s exports to Europe.The discussion of this research indicates that the European Union regulation is considered detrimental to Indonesia. Indonesia’s response was to file a complaint with the World Trade Organization (WTO), arguing that the European Union has violated the principles of international trade. The conclusion of this research is that the European Union has engaged in discriminatory practices against imported products. This regulation has caused tension between Indonesia and the European Union, leading Indonesia to pursue legal action by filing a claim against the European Union at the WTO.