The Importance of Domestic Industry Protection

Oct 13, 2025 by recoveryshake.com 104 views

Settlement of Anti-Dumping Disputes between Indonesia and South Korea according to International Trade Law

In the context of international trade, dumping practice is one of the most significant issues that need to be addressed by countries, including Indonesia. Dumping, which is often done by certain countries to dominate the market with very low product prices, can harm the domestic industry. Therefore, Indonesia needs to have the right strategy to protect the local industry from the practice of dumping while being able to anticipate and face dumping accusations from other countries effectively. This article will discuss anti-dumping arrangements in international and national law, as well as how Indonesia faces dumping disputes with South Korea in the framework of international trade law.

Anti-Dumping Arrangement in International Law

Anti-dumping arrangements at the international level are regulated in the General Agreement on Tariffs and Trade (GATT), specifically Article VI, which discusses anti-dumping and countervailing duties actions. This provision emphasizes that member countries must implement anti-dumping rules listed in GATT into their national law. However, because Article VI only provides an outline of regulation, the details of the implementation of this rule are outlined in the anti-dumping code agreed on Tokyo Round in 1979.

The Importance of GATT in Regulating Anti-Dumping Practices

The General Agreement on Tariffs and Trade (GATT) plays a crucial role in regulating anti-dumping practices at the international level. Article VI of GATT provides a framework for member countries to implement anti-dumping rules in their national law. This provision ensures that member countries have a clear understanding of the regulations and procedures for dealing with dumping practices. However, the details of the implementation of this rule are outlined in the anti-dumping code agreed on Tokyo Round in 1979.

Enforcement of Anti-Dumping Actions by Member Countries of the WTO

Enforcement of anti-dumping actions by member countries of the World Trade Organization (WTO) is basically a guide. The WTO provisions do not judge, but provide direction for member countries regarding how to respond to dumping actions carried out by other countries. Specifically, anti-dumping actions are regulated in article VI Gatt 1994, known as an anti-dumping agreement. In this context, member countries have the obligation to prove the existence of dumping that harms the domestic industry before applying anti-dumping actions.

Anti-Dumping Indonesia Vs. Dispute South Korea

In the case of dumping disputes between Indonesia and South Korea, the position of the WTO played an important role as a dispute resolution forum. Through the Dispute Settlement Body (DSB), the WTO provides a platform for member countries to file a lawsuit related to dumping practices. This process begins with a consultation between the parties to the dispute. If the problem cannot be resolved through consultation, an independent panel will be formed that will conduct an investigation of the case raised.

The Role of the WTO in Resolving Anti-Dumping Disputes

The World Trade Organization (WTO) plays a crucial role in resolving anti-dumping disputes between member countries. The Dispute Settlement Body (DSB) provides a platform for member countries to file a lawsuit related to dumping practices. This process ensures that disputes are resolved in a fair and transparent manner. The WTO also provides a framework for member countries to implement anti-dumping rules in their national law.

The Process of Resolving Anti-Dumping Disputes

The process of resolving anti-dumping disputes between Indonesia and South Korea involves several steps. The first step is consultation between the parties to the dispute. If the problem cannot be resolved through consultation, an independent panel will be formed that will conduct an investigation of the case raised. This process also provides appeal rights for those who feel the panel decision is unfair or not in accordance with existing regulations.

The Importance of Domestic Industry Protection

Protection of the domestic industry is very important in dealing with the practice of dumping. With a clear legal provision, Indonesia can be more proactive in identifying and fighting dumping actions. In addition, a deep understanding of international rules and the ability to carry out the correct procedures within the WTO framework will also strengthen Indonesia's position in resolving trade disputes.

The Benefits of Protecting the Domestic Industry

Protecting the domestic industry from dumping practice is essential for Indonesia's economic growth and development. By protecting the domestic industry, Indonesia can ensure that local businesses are able to compete fairly in the global market. This will also help to create jobs and stimulate economic growth.

Conclusion

Protecting the domestic industry from dumping practice is a responsibility that must be carried out by the Indonesian government. By integrating the provisions of international law, especially those regulated by the WTO, in national regulations, Indonesia can be better prepared to face challenges and accusations that might come from other countries. Through the existing dispute resolution mechanism, Indonesia can not only defend the interests of the domestic industry, but also play an active role in maintaining justice in international trade. In the future, this approach is expected to strengthen the competitiveness of local industries in the global arena.

The Way Forward

In conclusion, the settlement of anti-dumping disputes between Indonesia and South Korea according to international trade law is a complex issue that requires a deep understanding of international rules and regulations. Indonesia must be proactive in protecting the domestic industry from dumping practice and ensure that local businesses are able to compete fairly in the global market. By integrating the provisions of international law, especially those regulated by the WTO, in national regulations, Indonesia can be better prepared to face challenges and accusations that might come from other countries.
Frequently Asked Questions (FAQs) on Anti-Dumping Disputes between Indonesia and South Korea

In our previous article, we discussed the settlement of anti-dumping disputes between Indonesia and South Korea according to international trade law. In this article, we will answer some frequently asked questions (FAQs) on anti-dumping disputes between Indonesia and South Korea.

Q: What is anti-dumping?

A: Anti-dumping is a trade practice where a country exports a product to another country at a price that is lower than the normal value of the product in the exporting country. This can harm the domestic industry of the importing country.

Q: What is the General Agreement on Tariffs and Trade (GATT)?

A: The General Agreement on Tariffs and Trade (GATT) is an international trade agreement that regulates trade between countries. It provides a framework for countries to implement anti-dumping rules in their national law.

Q: What is the World Trade Organization (WTO)?

A: The World Trade Organization (WTO) is an international organization that regulates trade between countries. It provides a framework for countries to implement anti-dumping rules in their national law and resolves trade disputes between countries.

Q: What is the Dispute Settlement Body (DSB)?

A: The Dispute Settlement Body (DSB) is a part of the World Trade Organization (WTO) that resolves trade disputes between countries. It provides a platform for countries to file a lawsuit related to dumping practices.

Q: What is the process of resolving anti-dumping disputes?

A: The process of resolving anti-dumping disputes involves several steps. The first step is consultation between the parties to the dispute. If the problem cannot be resolved through consultation, an independent panel will be formed that will conduct an investigation of the case raised. This process also provides appeal rights for those who feel the panel decision is unfair or not in accordance with existing regulations.

Q: What is the role of the Indonesian government in protecting the domestic industry from dumping practice?

A: The Indonesian government has a responsibility to protect the domestic industry from dumping practice. This can be done by integrating the provisions of international law, especially those regulated by the WTO, in national regulations. The government can also provide support to local businesses to help them compete fairly in the global market.

Q: What are the benefits of protecting the domestic industry from dumping practice?

A: Protecting the domestic industry from dumping practice can have several benefits, including:

Ensuring that local businesses are able to compete fairly in the global market
Creating jobs and stimulating economic growth
Increasing the competitiveness of local industries in the global arena

Q: What is the way forward for Indonesia in resolving anti-dumping disputes with South Korea?

A: The way forward for Indonesia in resolving anti-dumping disputes with South Korea is to continue to integrate the provisions of international law, especially those regulated by the WTO, in national regulations. Indonesia should also provide support to local businesses to help them compete fairly in the global market. Additionally, Indonesia should continue to engage in dialogue with South Korea to resolve trade disputes in a fair and transparent manner.

Conclusion

In conclusion, anti-dumping disputes between Indonesia and South Korea are complex issues that require a deep understanding of international rules and regulations. By answering these frequently asked questions, we hope to provide a better understanding of the issues involved and the way forward for Indonesia in resolving anti-dumping disputes with South Korea.