I 
110TH CONGRESS 
2D SESSION 
H. R. 6324 
To facilitate the importation of ethanol. 
IN THE HOUSE OF REPRESENTATIVES 
JUNE 19, 2008 
Mr. UDALL of Colorado (for himself and Mr. PERLMUTTER) introduced the 
following bill; which was referred to the Committee on Ways and Means 
A BILL 
To facilitate the importation of ethanol. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Imported Ethanol Fa-
cilitation Act’’. 
SEC. 2. FINDINGS AND PURPOSE. 
(a) FINDINGS.—Congress finds the following: 
(1) The United States has levied a tariff on im-
ported ethanol equal to the excise tax credit for 
blending ethanol in order to preclude foreign pro-
ducers from benefitting from that credit. 
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(2) However, the Food, Conservation, and En-
ergy Act of 2008 will decrease the excise tax credit 
for blending ethanol from $0.51 to $0.45 per gallon, 
but extend the $0.54 per gallon temporary duty on 
imported ethanol. 
(3) The result of these changes will be to in-
crease the competitive disadvantage of ethanol im-
ports in the United States marketplace and trans-
form a tariff designed to offset a domestic subsidy 
into a real import barrier. 
(4) Erecting such an import barrier will tend to 
reduce the amount of ethanol that will be brought 
into the United States market from foreign pro-
ducers, and thus will tend to increase the price of 
fuel for American consumers, while increased eth-
anol imports could possibly have the opposite result. 
(5) Erecting such an import barrier also can 
impede development of a global biofuels marketplace 
that would permit mutually beneficial trade between 
producing regions, including the United States, that 
would assist in stabilizing both fuel and food prices. 
(b) PURPOSE.—The purpose of this Act is to ensure 
that the tariff on ethanol does not exceed the tax credit 
applicable to blenders of ethanol, to avoid erecting a new 
trade barrier to imports of ethanol while assuring that for-
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eign blenders will not benefit from the tax credit, and to 
require a study of potential effects of further reduction 
in or elimination of the duty on ethanol. 
SEC. 3. ETHANOL TAX PARITY. 
(a) IN GENERAL.—The President shall— 
(1) reduce the temporary duty imposed on eth-
anol under heading 9901.00.50 of the Harmonized 
Tariff Schedule of the United States by an amount 
equal to the reduction in any Federal income or ex-
cise tax credit under section 40(h), 6426(b), or 
6427(e)(1) of the Internal Revenue Code of 1986, 
that occurs on or after January 1, 2009; and 
(2) take any other action necessary to ensure 
that the temporary duty imposed on ethanol under 
such heading 9901.00.50 does not excced any Fed-
eral income or excise tax credit applicable to ethanol 
under the Internal Revenue Code of 1986. 
(b) EFFECTIVE DATE.—Any action by the President 
under paragraph (1) or (2) of subsection (a) shall take 
effect as of the same day as the corresponding reduction 
or other change in the Federal income or excise tax credit 
under section 40(h), 6426(b), or 6427(e)(1), or other pro-
vision, of the Internal Revenue Code of 1986. 
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SEC. 4. STUDY OF POTENTIAL EFFECTS OF INCREASED 
ETHANOL IMPORTS. 
No later than 90 days after the date of the enactment 
of this Act, the Secretary of Energy and the Secretary 
of Commerce shall submit to the Congress a report regard-
ing the effects of the further reduction or elimination of 
the duty on ethanol on— 
(1) fuel supplies and fuel prices in the United 
States; and 
(2) domestic production of ethanol. 
Æ 
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