Jakarta/Brussels — The leaders of Indonesia and Malaysia, the world’s two biggest palm oil producers, have taken issue with the EU over its decision to no longer consider palm oil as a green fuel. In March, the European Commission determined that palm oil has resulted in excessive deforestation and that it should no longer be considered a renewable transport fuel, albeit with some exemptions. It will become law unless a majority in the European Parliament or in the group of EU countries objects. So far, there are no indications that either will do so. Indonesia and Malaysia have both threatened a World Trade Organisation (WTO) challenge against the EU plan. “Both our governments view this as a deliberate, calculated and adverse economic and political strategy to remove palm oil from the EU marketplace,” Indonesian President Joko Widodo and Malaysian Prime Minister Mahathir Mohamad said in an April 5 letter to the EU. “Should this delegated regulation enter into force our governmen...

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