The Argentine Government states that the petition filed by the United States National Biodiesel Board to analyze whether to continue importing Argentine biodiesel is unfounded.
Last March 23, the National Biodiesel Board Fair Trade Coalition, headed by the National Biodiesel Board, filed a petition with the U.S. Department of Commerce (DOC) and the U.S. International Trade Commission (ITC) to impose anti-dumping and countervailing duties on biodiesel from Argentina.
The petitioner accuses Argentine producers of exporting biodiesel at dumping prices to the United States and benefitting from distorting subsidies that favour Argentine exports to the detriment the United States industry. These US industry accusations are groundless.
There is no evidence in favour of these allegations and the arguments upon which they are based have already been rejected by international panels. Last year, the WTO Dispute Settlement Body found in favour of Argentina, both at the Panel and Appellate stages, with respect to anti-dumping measures imposed by the European Union that were similar to those being currently sought by the US biodiesel industry.
The measure imposed by the European Union which was found to be illegal was based on the same arguments on which the US industry relies now. Furthermore, the General Court of the European Union overturned the anti-dumping duties imposed by the European Union, thus dismissing the accusation made by their own producers. The EU is reviewing its measure.
As regards the alleged subsidies, the US biodiesel producers’ accusation is based on completely fallacious arguments. A similar accusation made by European producers was rejected by the European Union itself since the existence of subsidies allegedly favouring Argentine producers failed to be proved.
Argentina leads the world production of biodiesel thanks to a comparative advantage in soybean production and the highly efficient production of the national biodiesel industry. This has caused protectionist claims to arise in a number of countries aimed at protecting sectors that cannot compete internationally by imposing illegal trade barriers. Not only do said barriers affect efficient exporters, but they also undermine efforts by developing countries to protect the environment by reducing the use of fossil fuels.
The Argentine government will provide support to Argentine producers and will continue working towards barrier-free biodiesel international trade that rewards efficiency and environmental protection.
Press Release: Nº096/17
Press Office: 4819-7375 / 8296 / 7388
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