US Decries EU Antidumping Appeal

EC's Antidumping Decision Disappoints US Ethanol Groups

NEW YORK (DTN) -- The Renewable Fuels Association and Growth Energy expressed disappointment with the today's decision by the European Commission to file an appeal with the European Union General Court related to its June 2016 ruling invalidating certain ethanol duties.

That ruling annulled the European Union's 9.5% antidumping duty on ethanol imported from the United States produced by entities that had been selected as part of a sample group in an antidumping investigation. That duty has been in place since February 2013.

During the appeal process, the duty will remain on ethanol generated by these producers and all other American ethanol entering the EU.

On June 9, the EU General Court ruled that the five-year antidumping duty was invalid because the EC was required by EU law to give each sampled U.S. company its own antidumping rate. Instead, the EC applied a countrywide rate to all parties, even those for which it had more specific information. This action is in direct violation of both the EC's own rules and longstanding World Trade Organization precedent.

In May 2013, Growth Energy and RFA filed a joint complaint, outlining violations by the EC in its antidumping investigation. The antidumping duty had effectively shut out U.S. ethanol producers from accessing the European market, which before the penalty was imposed had represented a 300 million gallon market for the industry.

"While not surprising, we are disappointed with EC's decision," said Bob Dinneen, RFA President and CEO. "The antidumping duty should have never been assessed and is only hurting European consumers by shutting out the lowest-cost ethanol in the world. We will continue to fight to ensure the duty is removed."

Emily Skor, CEO of Growth Energy, said the ongoing resistance of the EC is frustrating, and added that, "Their willingness to continue to pursue an unprecedented, protectionist agenda will only delay the inevitable outcome, absolving U.S. ethanol producers from any false claims of anti-dumping. We will continue to pursue all options to fight this unfounded complaint, and are confident we will be vindicated."