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Home » Brazil to impose import tariff on U.S. ethanol
TRADE TALK ... Comments

Brazil to impose import tariff on U.S. ethanol

Brazil official approves recommendation to impose a 20% tariff on U.S. ethanol

PUBLISHED ON August 24, 2017

"We are disappointed and discouraged to see the ruling out of Brazil today imposing a tariff on U.S. ethanol," reads the joint statement. (chumlee10, Flickr/Creative Commons)

WASHINGTON — Brazilian Minister of Agriculture, Livestock and Supply Blairo Maggi tweeted this afternoon that CAMEX, Brazil’s Chamber of Foreign Trade, has approved a recommendation to impose a 20 percent tariff on U.S. ethanol imports after a 600 million liter tariff rate quota. Local media are reporting this TRQ would be in place for the following two years, stymying access to a large and growing market for U.S. ethanol exports.

The following is a joint statement on this action from U.S. Grains Council (USGC) President and CEO Tom Sleight, Renewable Fuels Association (RFA) President and CEO Bob Dinneen and Growth Energy CEO Emily Skor:

“We are disappointed and discouraged to see the ruling out of Brazil today imposing a tariff on U.S. ethanol. Given the tremendous volume of information we provided to Brazil that demonstrated how misguided a tariff would be, it seemed politics prevailed today and Brazilian consumers lost. Imposing tariffs on U.S. ethanol imports will hurt Brazilian consumers by driving up their costs at the pump. Additionally, this action goes against Brazil’s longstanding view that ethanol tariffs are inappropriate and will effectively close off an open and bilateral trading relationship that benefits all sides. We strongly urge this recommendation to be reversed as soon as possible and will work to that end through all available pathways.”

–U.S. Grains Council
Renewable Fuels Association
Growth Energy

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