BRUSSELS, BELGIUM — The E.U. Council published on Feb. 22 a regulation imposing an anti-dumping duty on U.S. ethanol exports to the EU. As of Feb. 23, an $83.20 per tonne duty will be applied to all imports of ethanol from the U.S. that are aimed at the fuel market for the next five years.
As a representative of the E.U. industry, ePURE said it is very pleased with this decision, which brings to an end a case which was launched in November 2011.
ePURE considers that as the commission closed the anti-subsidy proceeding without countervailing measures for the E.U. industry (on the grounds of a withdrawal of the VEETC subsidy scheme by U.S. authorities) it was only legitimate that the commission proposed anti-dumping duties for U.S. imports, after concluding in both cases the injury and damage caused to the E.U. industry during 2011.
Ethanol exports from the U.S. to the E.U. jumped from 102 million liters in 2009 to 1.17 billion liters in 2011, so a level 13 times higher and an increase of 1,051%. U.S. imports accounted then for up to 20% of E.U. consumption. These imports have had such a negative impact on ethanol prices in the E.U. market and for E.U. ethanol producers that it prevented the domestic ethanol production industry from developing. Many producers encountered a critical financial situation and several ethanol plants were forced to shut down as a result.
“As I have previously expressed, this decision represents a legitimate recognition of damage suffered by the European ethanol industry,” said Rob Vierhout, secretary-general of ePURE. “The Commission has taken a very wise decision in this case by applying a reasonable anti-dumping duty rate. I am sure our American counterparts will appreciate that and also the fact that the anti-subsidy case has been closed without countervailing measures, despite many years of subsidization in the U.S.”
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