Ethanol Trade Agreement

“This is a ceasefire, a step in the right direction,” Michael Webber, managing partner of investmentresearch Webber Research and Advisory, said of Wednesday`s agreement. “The size of the stage remains to be determined.” Similar coverage: Metallurgical companies want to address overcapacity in the next steps of the U.S.-China trade pact “We hope that this agreement will immediately open the door to judicious exports of ethanol and animal co-products to China, and we thank President Trump, the U.S. Trade Representative and the U.S. Department of Agriculture for their efforts to reopen the Chinese market for U.S. agricultural and energy products.” Cooper continued. “And like President Trump in his remarks just before the signing, we also appreciate the hard work of Sens. Chuck Grassley, Joni Ernst and Deb Fischer as true ethanol advocates. A senior government official said that while China has not committed to reducing its tariffs under the agreement, China will have to determine how it can secure its barriers, including tariffs, but will not prevent them from achieving its goals. “As a result, they decided to conduct results-oriented discussions on an agreement to improve access to the ethanol and sugar market in Brazil and the United States. They will also consider increasing access to the maize market in both countries,” he added. The duty-free import quota was used entirely by U.S. corn ethanol producers who liked to sell in Brazil to offset weak sales due to the coronavirus pandemic. President Trump signed a first-phase trade agreement with China on January 15. The agreement will enter into force within 30 days and requires China to purchase agricultural products, including ethanol and brenner cereals, over the next two years.

The U.S. Grains Council has made a statement of support for the trade agreement. “The U.S. Grains Council welcomes today`s signing of a Phase 1 agreement with China, which is expected to reduce lingering market uncertainties and encourage China to purchase significant quantities of the full range of U.S. agricultural products, including cereals, dry solvent grains (DDGS) and ethanol, to reach a total of at least $80 billion over the next two years. said Darren Armstrong. , President of the USGC. “Brazil and the United States have held consultations on their bilateral ethanol trade,” Brazil`s foreign ministry said in Friday`s statement.