Malaysian authorities have threatened the European Union with the revision of trade agreements, including the reduction of imports, in the case of the adoption by Brussels of the law banning the use of palm oil for biofuel production after 2020. The corresponding statement of the Deputy Prime Minister Ahmad Zahid Hamidi brought on Monday, the newspaper New Straits Times.

"Last week held a Cabinet meeting at which it was decided to abandon the procurement of certain goods from countries that will join the EU" - said Deputy Prime Minister. "Their strategy is to Malaysia to buy their products, thus refuse to purchase our. However, we do not intend to grovel before them," said Ahmad Zahid Hamidi.

According to him, the possible refusal of the EU from purchasing palm oil will affect at least 500 million people in Malaysia, employed in this area. He also added that the export of palm oil by the end of 2017 amounted to more than 55% of the total volume of exports of goods and is valued at more than $19 billion, "the Government must take measures to protect this sector of the economy", - said Deputy Prime Minister.

The European Parliament on 17 January approved a package of measures aimed at reforming the energy market with the aim of reducing energy consumption and climate change. Among the proposed measures is a ban on the use of palm oil in the production of biofuels. Malaysia is the second after Indonesia palm oil producer in the world, they account for up to 90% of the production of these products.