Brazil's Minister of Agriculture, Livestock & Supply Blairo Maggi tweeted Wednesday afternoon that CAMEX, Brazil’s Chamber of Foreign Trade, has approved a recommendation to impose a 20% tariff on U.S. ethanol imports after a 600 million-liter tariff rate quota (TRQ).

Local media are reporting that this TRQ would be in place for the following two years, stymieing access to a large and growing market for U.S. ethanol exports, according to ethanol groups.

In a joint statement from U.S. Grains Council (USGC) president and chief executive officer Tom Sleight, Renewable Fuels Assn. (RFA) president and CEO Bob Dinneen and Growth Energy CEO Emily Skor, they said they’re “disappointed and discouraged” to see the ruling imposing a tariff on U.S. ethanol.

“Given the tremendous volume of information we provided to Brazil that demonstrated how misguided a tariff would be, it seemed politics prevailed today, and Brazilian consumers lost. Imposing tariffs on U.S. ethanol imports will hurt Brazilian consumers by driving up their costs at the pump,” the joint statement noted.

“Additionally, this action goes against Brazil’s long-standing view that ethanol tariffs are inappropriate and will effectively close off an open and bilateral trading relationship that benefits all sides. We strongly urge this recommendation to be reversed as soon as possible and will work to that end through all available pathways,” the CEOs said.

Related:Brazil delays decision on ethanol import tariff

U.S. ethanol producers have already shipped a total of 146.4 million gal. to Brazil in the first quarter of 2017, meaning the country has accounted for almost 40% of total year-to-date U.S. exports. Brazil was again the top recipient of U.S. ethanol in March and April, importing 36.7 million gal. (29% of the total market share) in March and 44.5 million gal. (slightly more than half of the total volume) in April.