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ABFA Opposes NBB Petition Against Biodiesel from Argentina and Indonesia  

Thursday, March 23, 2017

In response to the National Biodiesel Board Fair Trade Coalition petition against biodiesel from Argentina and Indonesia, the Advanced Biofuels Association (ABFA) has issued the following statement attributable to Michael McAdams, ABFA President.

Today, the National Biodiesel Board Fair Trade Coalition and its individual members filed petitions requesting the imposition of antidumping and countervailing duties on dumped and subsidized imports of biodiesel from Argentina and Indonesia. These allegations are simply not true. The members of the Advanced Biofuels Association vehemently oppose this action and expect these petitions’ rejections, similar to the EU’s recent rejections of NBB’s efforts conducted in Europe. With the future of advanced biofuels at stake, this is no time to be penny-wise and pound-foolish with alternative sources of this vital low-carbon fuel.

Customers who chose to use internationally-sourced biodiesel for transportation fuels or heating oil are significantly impacted by this petition, particularly in the Northeast Corridor. This piggybacks on NBB’s efforts to change the existing blenders tax credit to a production credit. Both of these actions will have the effect of raising the cost of biodiesel to those selling the fuels to American drivers, while further lining the pockets of those who grow soybeans in the United States. These actions by a few large U.S. producers and U.S. soybean growers puts the entire Renewable Volume Obligations (RVO) system at risk, as the current Renewable Fuel Standard (RFS) program depends on security of supply from foreign markets to ensure the two billion gallon mandate can be achieved.

We already have seen the prices of soybean feedstock and RINs for the biomass-based diesel pool rise in response to NBB’s efforts. This is the very effect these parties intended to achieve. However, this short-term gain threatens the viability of the entire RFS program. In filing this suit, NBB is fleecing the diesel drivers of America, not putting “America First.”

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