The Renewable Fuels Association (RFA) has accused Brazil of undermining fair trade in ethanol by imposing steep tariffs and restrictive rules. The association made its remarks in a submission to the U.S. Trade Representative on Monday, as the agency reviews Brazil’s trade policies, reports Renewable Fuels Association.
RFA President and CEO Geoff Cooper said Brazil’s tariff policy has severely damaged U.S. ethanol exports. “Brazil used to be one of the largest buyers of American ethanol, but higher tariffs in recent years have practically shut the door to our exports,” Cooper said. He added that U.S. producers face an 18 percent duty when exporting to Brazil, while Brazilian ethanol enters the U.S. with a much lower 2.5 percent tariff. “This gives Brazilian suppliers an unfair advantage in the U.S. market,” he noted.
The impact has been significant. U.S. ethanol exports to Brazil dropped to zero in 2023 and were valued at just $43 million in 2024. That accounted for only 1.3 percent of total U.S. ethanol exports last year, compared with nearly one-third of the total in 2018.
