Previous studies have examined Indonesia’s palm oil diplomacy and the development of the Indonesian Sustainable Palm Oil (ISPO) certification system. However, less attention has been paid to how Indonesia responds to European Union pressure on palm oil sustainability through discursive and institutional strategies. This article examines how #SawitBaik and ISPO operate together as counter-narrative strategies in responding to European Union regulatory pressure on palm oil sustainability. Using a qualitative case study based on document analysis, the study draws on materials covering ISPO from 2011 to 2026, #SawitBaik from 2019 to 2026, relevant European Union regulatory documents from 2018 onward and independent empirical studies. The analysis applies a relational understanding of counter-narrative and assesses the degree of correspondence between public representation, institutional response and observable evidence. The findings show that #SawitBaik works primarily through discursive reframing, emphasizing economic contribution, smallholder livelihoods, comparative land productivity and national interest. ISPO provides an institutional response through nationally governed sustainability standards and certification mechanisms. Yet, the empirical grounding of these counter-narratives varies across individual claims. Claims concerning palm oil’s economic significance, comparative crop productivity and the existence of national sustainability governance receive relatively strong support. Claims related to smallholder welfare, social conditions and certification reach are more uneven. Other representations become predominantly rhetorical, particularly regarding broader environmental sustainability and harmonious relations between plantations and communities. The study contributes to counter-narrative analysis by showing how discursive negotiation and institutional adaptation can operate together even as they differ in their degree of empirical grounding.
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