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Asia Insight

Palm oil: Indonesia and Malaysia push back as EU clamps down

Producers threaten legal action while rushing to shore up industry

ERWIDA MAULIA and P PREM KUMAR, Nikkei staff writers | Indonesia

JAKARTA/KUALA LUMPUR -- Asia's two dominant palm oil producers, Indonesia and Malaysia, may be heading for a clash with the European Union in international court over an EU clampdown on the fuel. Indonesian President Joko Widodo, however, is not waiting around for someone else to decide the fate of the industry.

On Aug. 12, the president led a cabinet meeting on an urgent topic: biodiesel.

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