The National Biodiesel Board has called for the end of duties on the green fuel being sent to Europe. NBB says it’s time to let expire what the group calls unfair European Commission biodiesel tariffs in place for the past five years.
“We have presented a strong case for ending these protectionist barriers that are unfairly hurting U.S. biodiesel producers even as European producers are taking advantage of the U.S. market,” said Anne Steckel, NBB’s vice president of federal affairs. “As we speak, European biodiesel producers are sending biodiesel to the U.S., with significant policy support, while at the same time the European market has been cut off from U.S. producers.”
“Eliminating these duties will level the playing field and allow U.S. producers to fairly compete in accordance with international law – just as we are allowing European producers to do in the U.S. market,” [Steckel said].
Among the points highlighted in NBB’s filing Tuesday:
– U.S. imports of biodiesel from the EU have grown in recent years while EU imports of U.S. biodiesel have been virtually eliminated.
– The U.S. biodiesel tax incentive, which was the primary basis for the EU’s initial trade duties, is currently not in effect and hasn’t been in effect for three of the past five years.
– Because it is structured as a blender’s incentive, the U.S. biodiesel tax incentive is available to European producers, when it is in effect, in the same way it is available to U.S. producers. Additionally, European imports to the U.S. can qualify for the RFS, the policy that requires specific volumes of renewable fuels to be blended into the U.S. fuel supply.
– The U.S. biodiesel market has evolved significantly since 2009 and, with required volumes under the RFS creating a strong and growing domestic market, it is unlikely that eliminating the trade barriers would lead to a flood of U.S. biodiesel exports to Europe.
While the original biodiesel trade duties were set to expire this year, the European Commission, at the request of the European biodiesel industry, has been delaying the expiration by conducting an “expiry review” expected to last 12 to 15 months.