Brazil views issues related to the import of US biofuels as 'practically solved'

Geraldo Alckmin, the Brazilian Vice-President, said on Tuesday that "practically all issues" related to Brazil's imports from the United States of biofuels had been "resolved".

Alckmin, the Minister of Development, Industry, Trade and Services, said that his comments referred to an easing of rules in the RenovaBio Program to address U.S. concern.

RenovaBio promotes the use biofuels like ethanol and biodiesel in place of fossil fuels to reduce greenhouse gas emission.

In its National Trade Estimate Report on Foreign Trade Barriers the Trump Administration flagged the program in its report as a nontariff barrier which put U.S. manufacturers at a disadvantage. It urged Brazil to review its regulations.

Up until June of this year, foreign exporters of biofuels needed an intermediary to get certification and receive decarbonization credits. This was usually a Brazilian importer.

Amid mid-June, the oil regulator ANP issued a resolution that allowed for foreign exporters to receive certification directly. The ministry said this had already equalized the playing field.

ALCKMIN: BRAZIL ENGAGED in U.S. talks

Alckmin, speaking at an event organized by the American Chamber of Commerce of Brazil, said that non-tariff concerns were also important in the talks with the U.S. This included matters related to data centres, rare earth elements, and large tech companies.

He said that Brazil is still engaged in negotiations after Washington added last week more than 200 items to a list of products exempted from the 50% tariffs it had imposed.

Fernando Pimentel of the Foreign Ministry, who is in charge of trade policy, said that Brazil has not received any clear requests as part of these talks, and it's waiting for consultations to be held under Section 301.

The U.S. launched the probe earlier this year in order to investigate a range of Brazilian policies including its highly popular instant payment system Pix as well as ethanol market access and intellectual property protection. (Reporting and editing by Andrew Heavens, Alistair Bell and Marcela Ayres)

(source: Reuters)