Home Indiana Agriculture News Industry Groups Call Brazil Decision ‘Devastating’ For U.S. Ethanol

Industry Groups Call Brazil Decision ‘Devastating’ For U.S. Ethanol


A coalition of agriculture groups says Brazil’s decision to impose a 20 percent tariff on all U.S. ethanol imports is devastating for the U.S. ethanol industry.

The group includes the U.S. Grains Council, Growth Energy, the Renewable Fuels Association and the National Corn Growers Association.

The organizations made the comments in response to the Brazilian government’s decision to let the current tariff rate quota expire, replacing it with a 20 percent tariff on all imports of U.S. ethanol.

The statement continues, “Not only does this decision risk destroying the great progress our two nations have made as global leaders in ethanol production, it marks a dramatic turn in our bilateral trade relationship.”

Since May, U.S. exports to Brazil have fallen to less than four million gallons. Over the same time period, Brazil has exported nearly 96 million gallons of fuel ethanol to the United States. A 20 percent tariff will “only further imbalance trade between the two countries.”

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