Ethanol Blog

European Union's move today to impose an anti-dumping duty on ethanol imports from the United States could lead to excess product supply in the U.S. market, as it would limit exports to the 27-member country region.

Starting tomorrow (2/23) a 62.9 euro or, at the current exchange rate, $83.03 per metric ton duty will be charged on U.S. ethanol entering the EU for the next five years.

That translates to a $0.257 gallon tariff. Ethanol exports from the U.S. to the EU jumped from 102 million liters in 2009 to 1.17 billion liters in 2011, 13 times higher, accounting for up to 20% of EU ethanol consumption.

"These imports have had such a negative impact on ethanol prices in the EU market and for EU ethanol producers," said ePURE, an EU ethanol lobby group.

George Orwel can be reached at george.orwel@telventdtn.com.

(ES)

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