ICYMI: USGC Responds to China Duties, Ethanol Tariffs

China's Ministry of Commerce (MOFCOM) announced Tuesday that it will subject U.S. distiller's dried grains with solubles (DDGS) to anti-dumping and countervailing duties (AD/CVDs) following a year-long investigation, the latest in a rash of measures taken by the Chinese government to restrict access to that market for U.S. feed grains and related products, specifically corn, DDGS and ethanol.

U.S. Ethanol Exports Up 85 Percent In First Quarter of 2016/2017 Marketing Year

Exports of U.S. ethanol are off to a strong start for the first quarter of the 2016/2017 marketing year and are at their highest levels during that time frame over the past five years, according to data recently released by the U.S. Department of Agriculture's Global Agricultural Trade System (GATS).

Exports totaled 353.2 million gallons for the months of September, October and November 2016, the first quarter of marketing year 2016/2017.

U.S. Grains Council Statement on China Actions

A statement from U.S. Grains Council (USGC) President and CEO Tom Sleight:

"The announcement Tuesday by China's Ministry of Commerce (MOFCOM) that it will subject U.S. distiller's dried grains with solubles (DDGS) to anti-dumping and countervailing duties (AD/CVDs) is the latest in a rash of measures taken by the Chinese government to restrict access to that market for U.S. feed grains and related products, specifically corn, distiller's dried grains (DDGS) and ethanol.

USGC Statement on USTR and USDA Announcement on WTO China Action on TRQs

A statement from U.S. Grains Council (USGC) President and CEO Tom Sleight:

"The U.S. Grains Council believes in free and open trade and the importance of both strong trade policy and market development. These are the guiding principles of our relationship with China, a complex and important trading partner for U.S. agriculture.

USGC Helps Host Chinese Officials In Washington, On Local Farm

The U.S. Grains Council (USGC) helped host a delegation of Chinese officials in town last week for the U.S.-China Joint Commission on Commerce and Trade (JCCT) meeting, including offering a tour of Chairman Chip Councell's farm on the Eastern Shore of Maryland.

The meeting was held at a time when there are several issues overhanging the trade relationship between the United States and China, which will be impacted further by the change in U.S. administration when President-elect Donald Trump takes office in January.

Chart of Note: Healthy Start for U.S. Ethanol in 2016/2017 Marketing Year

Exports of U.S. ethanol began with notable growth in the first month of the new marketing year, according to recent data published by U.S. Department of Agriculture's Global Agricultural Trade System (GATS).

The top three customers of U.S. ethanol in September 2016 were Canada, Brazil and China, respectfully. Exports of U.S. ethanol totaled 99.6 million gallons (903,000 metric tons of corn equivalent).

China Issues Preliminary Determinations in DDGS Investigations

The U.S. Grains Council (USGC) has been working to respond to recent preliminary duty determinations in ongoing antidumping and countervailing duties investigations by China.

The investigations began earlier this year and allege that U.S. policies have adversely impacted Chinese producers of distiller's dried grains with or without solubles (DDGS). USGC, the Office of the U.S. Trade Representative (USTR) and the U.S. ethanol and DDGS industries have strongly argued that these claims do not have merit.

Statement from U.S. DDGS Organizations On China Preliminary Determination in Countervailing Duties Investigation

A statement from the U.S. Grains Council (USGC), Growth Energy and the Renewable Fuels Association (RFA):

"We are disappointed that the Ministry of Commerce of the People's Republic of China (MOFCOM) has issued a preliminary determination claiming U.S. dried distiller's grains with or without solubles (DDGS) are being unfairly subsidized by U.S. government entities and have caused injury to the China's DDGS industry.

Statement from U.S. DDGS Organizations On Preliminary Duties Against U.S. DDGS From China

A statement from the U.S. Grains Council (USGC), the Renewable Fuels Association (RFA) and Growth Energy:

"We are deeply disappointed that China’s Ministry of Commerce has issued a preliminary determination claiming that U.S. dried distiller’s grains with or without solubles (DDGS) are being dumped and have caused injury to China’s DDGS industry.

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