(April 6, 2010)  Washington – In response to Brazil’s announced policy to temporary suspend tariffs on ethanol imports, the Renewable Fuels Association released the following statement:

“Brazil’s willingness to routinely change the rules regarding its domestic ethanol market undermines its claims for wanting a global trade in ethanol. Vacillating regulations regarding Brazil’s trade policy as well its domestic consumption of ethanol make it impossible for foreign ethanol producers to even consider exporting product into Brazilian markets.

“America should continue a constant and consistent trade and tax policy that provides for the growth of the domestic industry while not penalizing imports should the market demand them. The secondary tariff on imported ethanol has never been a barrier to trade, as evidenced by the hundreds of millions of gallons of ethanol imported from Brazil alone in the past few years. The tariff serves to protect American taxpayers from further subsidizing foreign ethanol industries already benefiting from generous government support in their own countries.

“Removing the tariff on imported ethanol in a solution in search of a problem. America should not seek to add a reliance on imported ethanol to our already disastrous reliance on costly foreign oil."