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USTR Continues To Engage Brazil On Ethanol Tariffs

U.S. Trade Representative Katherine C. Tai on April 17 discussed efforts to increase market access for U.S. ethanol in Brazil during a hearing held by the Senate Committee on Finance focused on the Biden administration’s 2024 trade policy agenda. 

Sen. Chuck Grassley, R-Iowa, noted that U.S. ethanol entering Brazil is currently subject to an 18% tariff, while Brazilian ethanol has free access to the U.S. market. He questioned Tai on what the administration is doing to press Brazil to lower its tariffs. 

Tai confirmed the ethanol tariff issue a high priority for the Biden administration, noting she is extremely concerned about Brazilian market access restrictions. 

“We are in coordination with USDA, including at political levels, actively engaging with our counterparts in Brazil on market access barriers to U.S. ethanol…,” Tai said. “ Our objective is to ensure that U.S. ethanol can once again compete on a level playing field with domestically produced ethanol in Brazil.” 

Tai said she most recently engaged her Brazilian counterpart about a month and a half ago. At that time, the Brazilians indicated that they understood from all levels, including from the White House, that the U.S. is prioritizing this issue and how important it is to our economy. She said Brazil desires to find a way to accommodate this priority. “So, we are actively working on it and the strength of your voice on this matter is an asset to us,” Tai said to Grassley. 

Source Link : https://ethanolproducer.com/articles/ustr-continues-to-engage-brazil-on-ethanol-tariffs

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