Ethyl Alcohol for Fuel Use: Determination of the Base Quantity of Imports

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Section 7 of the Steel Trade Liberalization Program Implementation Act of 1989 ("the Act"), as amended (19 U.S.C. 2703 note), which concerns local feedstock requirements for fuel ethyl alcohol imported by the United States from CBERA-beneficiary countries, requires the Commission to determine annually the U.S. domestic market for fuel ethyl alcohol during the 12-month period ending on the preceding September 30. The domestic market determination made by the Commission is to be used to establish the "base quantity" of imports that can be imported with a zero percent local feedstock requirement. The base quantity to be used by the U.S. Customs Service in the administration of the law is the greater of 60 million gallons or 7 percent of U.S. consumption as determined by the Commission. Beyond the base quantity of imports, progressively higher local feedstock requirements are placed on imports of fuel ethyl alcohol and mixtures from the CBERA-beneficiary countries. For the 12-month period ending September 30, 2003, the Commission has determined the level of U.S. consumption of fuel ethyl alcohol to be 2.67 billion gallons. Seven percent of this amount is 186.9 million gallons (these fi