CEO DATELINE - Biofuel groups urge U.S. to fight Brazilian ethanol tariffs
CEO DATELINE - Biofuel groups urge U.S. to fight Brazilian ethanol tariffs
- September 8, 2017 |
- Walt Williams
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Two biofuel industry associations and a group representing grain producers are calling on the U.S. to develop "an immediate response" to Brazil's decision to impose tariffs on ethanol imports.
In the joint statement, the leaders of Growth Energy, the Renewable Fuels Association and the U.S. Grains Council called on the Trump administration "to immediately engage their Brazilian counterparts on the future of our relationships with regard to biofuels."
The groups are upset with a new Brazilian policy imposing a 20 percent tariff on ethanol purchases from the U.S. after a 158.5-million gallon quota is met. The U.S. had already shipped nearly twice that amount to Brazil during the first seven months of 2017, according to the associations.
"Brazil's action is a violation of our mutual, longstanding agreement to maintain open trade between our countries, and the United States should not take this lying down," Growth Energy CEO Emily Skor said.
About a decade ago, both countries put aside a long-running dispute about trade practices and began a process of "mutual trade barrier disarmament," RFA CEO Bob Dinneen said. The two nations have benefited from that understanding.
"Unfortunately, Brazil's recent protectionist actions are turning back the clock to an era of isolationism and inefficient global trade," he said.
Brazil is not the only foreign country to anger the U.S. ethanol industry in recent months. Earlier this year, China announced it was raising tariffs on imported biofuels. http://bit.ly/2xRI1RE
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