Brazilian officials say they may drop barriers on U.S. ethanol imports. Renewable Fuels Association President and CEO Geoff Cooper says it’s possible they’re offering that in order to get the U.S. to get moving on a free trade agreement with them. He says Brazil’s 20 percent tariff rate quota on U.S. ethanol is hampering free trade.
He says more than half of the ethanol the U.S. has sold to Brazil has been negatively impacted by their tariff.
Cooper says RFA wants to see Brazil either expand the quota rate or completely drop the tariff. He also says having an FTA with them could help in achieving that.
Brazil is considering renewing the current import quotas on U.S. ethanol but with zero tariffs. Last year, Brazil was the top importer of U.S. corn ethanol, importing more than 1.7 billion liters.
