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November 22, 2008

Indonesia: Malaysia’s duty extension on newsprint unfair

Indonesia has lodged a protest against Malaysia's decision to extend anti-dumping import duties on Indonesia's newsprint for another six months, reported national news agency Antara.

"They (Malaysia) have arbitrarily extended the duties without prior notice. The move runs counter to World Trade Organization (WTO) rulings," Director of Trade Control at the Trade Ministry Martua Sihombing said on Thursday.

Under the rulings, anti-dumping duties on imported goods from a country are only valid for five years and can be extended for another two years after a review of the duties is made six months before the expiry of the duties, he said.

"If they (Malaysia) were to extend the duties they must review the duties by officially informing the relevant country of the matter. But when it comes to our newsprint, Malaysia did not inform us of its plan to extend the duties," he said.

He said the ministry has lodged a protest against Malaysia's decision to extend the anti-dumping duties on Indonesian newsprint.

"We also have made a request for direct talks with Malaysia. The meeting is scheduled to take place in the third week of December," he said.

Malaysia has imposed 5.59-22.87 per cent anti-dumping duties on Indonesian newsprint since August 15, 2004 at the request of Malaysian Newsprint Industries Sdn Bhd.

The anti-dumping import duties on Indonesian newsprint was supposed to expire on August 15, 2008.

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