ePURE welcomes EU anti-dumping measures on U.S. ethanol
The EU Council published today a regulation imposing an anti-dumping duty on US bioethanol exports to the EU. As of tomorrow, a 62.9 euro per metric ton duty will be applied to all imports of ethanol from the US that are aimed at the fuel market for the next five years.
As a representative of the EU industry, ePURE is very pleased with this decision which brings to an end a case which was launched over a year ago (November 2011).
Indeed, ePURE considers that as the Commission closed the anti-subsidy proceeding without countervailing measures for the EU industry (on the grounds of a withdrawal of the VEETC subsidy scheme by US authorities) it was only legitimate that the Commission proposed anti-dumping duties for US imports, after concluding in both cases the injury and damage caused to the EU industry during 2011.
Ethanol exports from the US to the EU jumped from 102 million liters in 2009 to 1.17 billion liters in 2011, so a level 13 times higher and an increase of 1051 percent. U.S. imports accounted then for up to 20 percent of EU consumption. These imports have had such a negative impact on ethanol prices in the EU market and for EU ethanol producers that it prevented the domestic ethanol production industry from developing. Many producers encountered a critical financial situation and several ethanol plants were forced to shut down as a result.
“As I have previously expressed, this decision represents a legitimate recognition of damage suffered by the European ethanol industry,” said Rob Vierhout, secretary-general of ePURE. “The Commission has taken a very wise decision in this case by applying a reasonable anti-dumping duty rate. I am sure our American counterparts will appreciate that and also the fact that the anti-subsidy case has been closed without countervailing measures, despite many years of subsidisation in the U.S.”