News

Biodiesel coalition files trade action against Argentina, Indonesia

The National Biodiesel Board (NBB) says companies in Argentina and Indonesia are violating trade laws by dumping subsidized biodiesel on the U.S. market.

“What’s happening is we’re seeing imported product, specifically biodiesel, from Argentina and Indonesia that’s being sold in the United States at below fair market price,” said Jessica Robinson, communications director at the National Biodiesel Board in Jefferson City, Missouri.  There’s room for all types of biofuels in the marketplace as long as they compete on an even playing field, according to Robinson.

“And what we’ve seen over the last several years is that is not what is happening in the biodiesel industry and in the biodiesel market space,” she said Friday, during an interview with Brownfield Ag News.  “And so it makes sense to ask the Department of Commerce, to ask the International Trade Commission, to take a look at this and see if there are violations of fair trade laws.”

What the Biodiesel Board calls illegal trade activities by Argentina and Indonesia have cost U.S. manufacturers more than 18 percentage points of market share, according to a news release.

The antidumping and countervailing duty petition filed Friday by the National Biodiesel Board makes the case that Argentine and Indonesian companies are violating trade laws by flooding the U.S. market with dumped and subsidized biodiesel. The petition was filed with the U.S. Department of Commerce and the U.S. International Trade Commission on behalf of the National Biodiesel Board Fair Trade Coalition, which is made up of the National Biodiesel Board and U.S. biodiesel producers.

“The resulting imbalance caused by unfair trade practices is suffocating U.S. biodiesel producers,” Said Donnell Rehagen, CEO of the NBB, quoted in a news release.  “Our goal is to create a level playing field to give markets, consumers and retailers access to the benefits of true and fair competition.”

This is not the first time that Argentine and Indonesian biodiesel producers have been charged with violating international trade laws.  In 2013, the EU imposed 41.9 to 49.2 percent duties on Argentina and 8.8 to 23.3 percent duties on Indonesia.  Just last year, Peru imposed both antidumping and countervailing duties on Argentine biodiesel.

AUDIO: Jessica Robinson (3 min. MP3)