BRUSSELS, BELGIUM — The European Commission repealed the anti-dumping duty on import of bioethanol from the United States.
The decision stems from the European Commission’s expiry review of the anti-dumping action the European Commission took in 2013, which have been in place since then. In announcing its decision, the Commission found no evidence that warranted continuation of those duties and that their removal of duties would not encourage dumping in the E.U.
“The decision today in the E.U. to allow more open access for U.S. ethanol is very welcome by our industry and the members of the U.S. Grains Council,” said Tom Sleight, president and chief executive officer of the USGC. “We look forward to working with our customers and counterparts in the E.U. to fulfill the ethanol demanded by their biofuels policy and environment- and price-conscious consumers.”
Growth Energy said it welcomed the decision to open the market to free and fair competition.
“By removing unjustified duties on U.S. ethanol, the Commission is opening critical new opportunities for member states to take full advantage of affordable, low-carbon biofuels,” said Craig Willis, senior vice-president of global markets for Growth Energy.” It’s a win-win for our E.U. trading partners, who will be better positioned to meet their environmental goals while holding down prices for European drivers.”
Throughout the review process the Renewable Fuels Association (RFA) said the penalties were unjustified and are supportive of the European Commission’s announcement.
“The U.S. ethanol industry is looking forward to resuming more open trade relations with the European Union,” said Geoff Cooper, CEO of the RFA. “With today’s removal of these duties, consumers in the E.U. will once again have unfettered access to clean, affordable, renewable fuels.”
Although support is seen from multiple U.S. associations, ePure, the European ethanol association, does not support the European Commission’s the repeal.
“The negative impact of a surge in U.S. fuel ethanol exports to the E.U. would be felt not only by the European renewable ethanol industry, but also by European agriculture,” ePure said. “It would deal another blow to European farmers at a time when the E.U. is proposing to drastically cut the budget and support for the sector under the Common Agricultural Policy. The U.S. has in parallel increased its support for the agricultural sector through the updated five-year farm bill that enhances the commodity programs and crop insurance tools for U.S. farmers.”
The association noted that the repeal could affect the E.U.’s climate goals by favoring U.S. ethanol. According to ePure, U.S. ethanol is more carbon-intensive than European ethanol.
“Europe’s ethanol industry has an important role to play in the urgent effort to decarbonize E.U. transport,” said Emmanuel Desplechin, secretary-general of ePURE. “The E.U.’s 2050 climate goals require a massive uptake of conventional and advanced biofuels. To achieve them, policymakers must do a better job of creating an environment in which Europe’s ethanol industry can compete on a level playing field and valorize domestic biomass into food and non-food uses.”