The United States International Trade Commission (USITC) today determined that a U.S. industry is materially injured by reason of imports of biodiesel from Argentina and Indonesia that the U.S. Department of Commerce (Commerce) has determined are subsidized.
Chairman Rhonda K. Schmidtlein, Vice Chairman David S. Johanson, and Commissioners Irving A. Williamson and Meredith M. Broadbent voted in the affirmative.
As a result of the USITC’s affirmative determinations, Commerce will issue countervailing duty orders on imports of this product from Argentina and Indonesia.
The Commission’s public report Biodiesel from Argentina and Indonesia (Investigation Nos. 701-TA-571-572 (Final), USITC Publication 4748, December 2017) will contain the views of the Commission and information developed during the investigations.
The report will be available by January 11, 2018; when available, it may be accessed on the USITC website at: http://pubapps.usitc.gov/applications/publogs/qry_publication_loglist.asp.
Product Description: Biodiesel is a fuel made from many types of vegetable oils, such as soybean oil, palm oil, and canola oil; animal fats; and used cooking oils. It is used most frequently as a substitute for petroleum-based diesel (diesel) in the transportation sector, usually in blends of 2 to 20 percent biodiesel. Biodiesel is also used as a heating fuel (fuel oil), primarily in the northeastern United States.
Status of Proceedings:
1. Type of investigation: Final phase countervailing duty investigations.
2. Petitioners: National Biodiesel Board Fair Trade Coalition, Washington, DC, and its individual members.
3. USITC institution: March 23, 2017.
4. USITC hearing: November 9, 2017.
5. USITC vote (countervailing duty): December 5, 2017.
6. USITC notification to Commerce (countervailing duty): December 21, 2017.
U.S. Industry in 2016:
1. Number of U.S. producers: 25
2. Location of producers’ plants: Alabama, Arkansas, California, Connecticut, Georgia, Illinois, Indiana, Iowa, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, New Hampshire, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, and Texas.
3. Production and related workers: 1,215.
4. U.S. producers’ U.S. shipments: $3.6 billion.
5. Apparent U.S. consumption: $5.7 billion.
6. Ratio of subject imports to apparent U.S. consumption: 28.4 percent.
U.S. Imports in 2016:
1. Subject imports: $1.6 billion.
2. Nonsubject imports: $496.3 million.
3. Leading import sources: Argentina, Canada, and Indonesia.