Australia slaps import duties on U.S. biodiesel

U.S. biodiesel being sold in Australia will face import duties of at least 40%, after Australia’s Customs and Border Protection Agency ruled that the U.S. was subsidizing more than half of its export price. A recent report from the agency’s trade measures branch said Australian producers were being “significantly undercut” by U.S. subsidies for biodiesel. Heather Brodie, chief executive of the Biofuels Association of Australia, said the ruling was a “terrific outcome” for domestic producers. “The Australian industry came to a virtual standstill last year while this was being resolved,” she said. U.S. producers had been facing the duties since an interim decision on the issue last October, but the April 18 report formalizes the decision. Under Australian regulations to encourage biofuels uptake, imports of U.S. biodiesel were effectively exempt from a A$0.38143/liter import duty, but the full duty will be applied in the future. (April 18,2011)