U.S. to fight Brazil's 20% tariff on U.S. ethanolStaff Writer | February 15, 2018
The U.S. will fight Brazil's quota and 20% tariff on U.S. ethanol imports imposed in September, a US Department of Agriculture official said.
Energy Brazil is the second-largest ethanol producer
"It just came out of left field," he said at the Renewable Fuels Association's National Ethanol Conference in San Antonio.
In September, Brazil imposed a 600 million liter/year tariff rate quota on a quarterly basis for two years. Volumes above the 150 million liter quarterly quota face a 20% tariff.
Whitley said the entire department was working on the issue.
"We are dedicated to resolving this issue," he said. "There is no stone we are not going to un-turn to open up this market."
Brazil is the second-largest ethanol producer in the world. It began importing large volumes of ethanol in 2016 as high sugar prices made the sweetener more attractive to sugarcane mills than ethanol. ■