WASHINGTON, D.C. — Brazil announced it has raised the quota on U.S. ethanol imports under the tariff rate quote (TRQ) up from 600 million liters per year to nearly 750 million liters per year. The TRQ regulates the threshold of ethanol that can be imported into Brazil without triggering a 20 percent tariff. Following this announcement, Growth Energy, U.S. Grains Council, and Renewable Fuels Association released statements:

Emily Skor, CEO, Growth Energy:
“We appreciate the U.S. government’s efforts to raise the TRQ, however we are disappointed that Brazil did not remove their tariff completely to allow a fully open market. Brazilian ethanol continues to have virtual tariff-free access to the U.S. and puts U.S. ethanol producers at a disadvantage at a time when they need it most. We will continue working with U.S. government officials, the Brazilian government, and our allies to truly open the ethanol market and build a strong trade relationship for decades to come.”

Ryan LeGrand, President and CEO, U.S. Grains Council:

“We are very disappointed Brazil did not fully consider the vast information we and the U.S. government provided them showing the detrimental and negative impact this TRQ has on Brazilian consumers by raising prices at the pump. We will actively encourage review of this policy, which inhibits trade between our countries and hinders the development of a robust global ethanol marketplace.  Free and reciprocal fair trade between the world’s two largest ethanol producers should be a model for other countries to follow.  Instead Brazil is showing other countries a path to construct barriers to trade, which will hurt all consumers in the short, medium and long terms.”

Geoff Cooper, President and CEO, Renewable Fuels Association:
“Brazil’s decision to maintain its protectionist trade barrier against U.S. ethanol is extremely disappointing and represents a major setback in our relationship with the Brazilian sugar and ethanol industry. The token increase in the quota does nothing to provide relief to Brazilian consumers who face higher fuel prices because of Brazil’s discriminatory policy. Not only is the U.S. market wide open to ethanol imports from Brazil, but our Renewable Fuel Standard actually incentivizes imports by characterizing sugarcane ethanol as an advanced biofuel. But there is nothing ‘advanced’ at all about the unfair and unlevel playing field created by Brazilian trade barriers. In light of Brazil’s action, it may be time for U.S. policymakers to reconsider our open-door trade policy regarding sugarcane ethanol.”

Latest Updates see all

get email updates on our work and how you can help

  • This field is for validation purposes and should be left unchanged.

Connect

Summertime sales of E15 went up 46% in 2019 compared to the same period of 2018 on a per-store basis, ethanol industry group Growth Energy said.

via @OPISBiofuels

Time is running out! Only days remain to tell the @EPA to uphold the RFS. We need you to make your voice heard! Submit comments here: https://t.co/cv2AWxIUGr https://t.co/KVe5QC1G8o

via @NationalCorn

I fought hard for year-round E15 to give Iowans more choice at the pump, and it’s clear they are taking advantage of it! 🌽⛽️ https://t.co/EQrOYmV5rp

via @SenJoniErnst

Amazing what happens when regulations are removed and the consumer gets choice at the pump. American consumers are increasingly choosing the cleaner, higher octane fuel #E15 https://t.co/4sTyF5ZN5v E15 Summer Sales Up 46 Percent in 2019 | Growth Energy https://t.co/rpuCAsqAxs

via @FrontRangeEnerg