Argentina and the European Union (EU) reached an agreement to end a dispute over exports of biodiesel, the Argentine Ministry of Foreign Affairs said. The deal establishes price and volume limits to be announced next month, the ministry said in a statement.
The Argentine government is raising an export tax on biodiesel to 15% from 8%, effective July 1, according to a decree published in the official Gazette on Monday. Argentina is one of the world's top providers of biodiesel fuel, exporting 1.65 million tons in 2017, but it has been hit by retaliatory tariffs in recent years.
The U.S. Commerce Department piled on more import duties on biodiesel from Argentina and Indonesia, adding anti-dumping duties of 60.44% to 276.65% to already steep anti-subsidy duties on the fuels.
European Union ambassadors agreed on Thursday to withdraw an appeal to the European Court of Justice meaning the bloc will have to accept its verdict annulling anti-dumping duties imposed on imports of biodiesel from Argentina and Indonesia.