Volume 7, Issue 1
Published: January 21, 2013
US ethanol debate continues in Europe

Despite avoiding the instigation of a tariff on its ethanol imports into Europe, the US still awaits an overall decision on an ‘anti-dumping’ investigation

 

The European Commission (EC) confirmed in December a decision not to apply countervailing duties in an antidumping case involving ethanol imports from the US for the time being.

The proposal, set to introduce an almost 10% tariff on imports from across the Atlantic, was making its way through Europe having been endorsed by an Antidumping Advisory Committee, as part of on-going investigations based on accusations that the US was ‘dumping’ its product into the European market.

Dumping is the term used to describe the influx of cheap and subsidised ethanol imports onto a foreign market. Such US product had been ensconced into the EU market over the past three years, thus driving European ethanol prices down substantially for it to compete.

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