The Brazilian government has ended a tax exemption on imports of ethanol with immediate effect, a move that would mostly hurt the U.S. biofuel industry. From this point forward until the end of the year, ethanol imports into Brazil will be subject to a 16% levy, which will rise to 18% in 2024, according to the country’s agriculture ministry. Brazil receives the majority of its fuel from the United States, despite being a major producer. Brazil often imports some cargo to supply the Northeast region. We were disappointed by Brazil’s decision to restore a high tariff rate on U.S. ethanol imports,” said Geoff Cooper, president and chief executive of RFA (Renewable Fuels Association).
Sources: Reuters/Uniao Nacional da Bioenergia (*Translated by Ia Niani)