The ethanol industry is calling on President Donald Trump to impose reciprocal tariffs on Brazilian ethanol. Following several years of free and open trade and Brazil being the top export customer of U.S. ethanol, that South American country has imposed a 20 percent duty on U.S. ethanol. Nebraska Ethanol Board Administrator Roger Berry says the U.S. has little choice but to put on the reciprocal tariffs to bring Brazil in line.
He says tariffs aren’t usually the best step to take and while nobody wants a trade war, the U.S. is left with little alternative following Brazil’s actions.
Berry says given the economic upheaval the American ethanol industry has been under this year along with the pandemic’s effects, trade becomes even more critical.
He says Mexico has also reduced its purchases of U.S. ethanol. Berry says while the U.S. has moved forward with a partial trade deal with Brazil, agriculture and ethanol have been left out.
