UPDATE 3-EU slaps duties on U.S. biodiesel imports - sources

Tue Mar 3, 2009 10:18pm GMT
 
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(Adds comments from U.S. industry, U.S. trade official)

By Darren Ennis

BRUSSELS, March 3 (Reuters) - The European Union moved to impose temporary duties on U.S. biodiesel imports on Tuesday, which follows months of complaints from European companies that they were being hammered by U.S. subsidies.

"It went through with no problem," one source with knowledge of the decision told Reuters after a meeting of the EU's anti-dumping committee of 27 national trade diplomats.

The move is the latest in a series of spats dogging EU-U.S. relations, with Brussels and Washington at loggerheads over an EU ban on imports of U.S. chlorinated chicken and hormone-treated beef.

The EU firms accuse U.S. producers of being involved in a "splash and dash" scheme, whereby they import cheaper biodiesel from countries such as Brazil and add less than 5 percent of U.S. diesel. The producers then qualify for a subsidy from Washington before exporting it to Europe.

From March 13, U.S. firms exporting biodiesel into the EU will have to pay additional tariffs for an initial six months, ranging from 26 euros ($32.88) to 41 euros per 100 kg.

Of the big U.S. producers, Archer Daniels Midland (ADM.N) will face duties of 26 euros per 100 kg, Cargill [CARG.UL] 27 euros, Imperium Renewables 29 euros, Green Earth Energy Fuels 28 euros and World Energy Alternatives 29 euros.

Peter Cremer North America and most other U.S. biodiesel companies exporting to Europe will pay 41 euros per 100 kg.  Continued...

 

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