WASHINGTON, D.C.—Growth Energy, the nation’s largest biofuel trade association, applauded a new Agreement on Reciprocal Trade with Indonesia. According to United States Trade Representative Jamieson Greer, the agreement will open “commercially meaningful opportunities for American farmers and manufacturers.” As part of the deal, Indonesia has agreed to lift its 30 percent tariff on U.S. ethanol exports, remove measures preventing the import of U.S. ethanol, and adopt transportation fuels mixed with up to five percent ethanol (E5) by 2028 and up to 10 percent ethanol (E10) by 2030. Longer-term, Indonesia aims to incorporate 20 percent ethanol (E20) into its fuel mix.
“On the heels of a similar agreement with Guatemala, the new trade framework with Indonesia represents a renewed hope for American agriculture,” said Growth Energy CEO Emily Skor. “Indonesia is the world’s fourth most populous country, and its adoption of 10 percent ethanol blends nationwide could open a 900 million-gallon market to American producers and farmers. We commend President Trump, Ambassador Greer, and Secretary Rollins for their ongoing commitment to unleash American energy and tear down unfair barriers to exports from rural America. There is a growing global appetite for low-carbon, low-cost biofuels, and America is well-positioned to dominate that market.”