Tidewater Midstream and Infrastructure Ltd T.TWM

Tidewater Renewables Countervailing Duty Filing

[TVR]

Tideswater Renewables today press released its filing for countervailing duties on Renewable Diesel.  This filing is with CBSA so at the federal level.  According to the press release the earliest date preliminary duties could be imposed is May.  Lets hope the BC government  can move faster and make some changes to the RD credits a little quicker.

Here is the press release:

TIDEWATER RENEWABLES LTD. FILES COUNTERVAILING (ANTI-SUBSIDY) AND ANTI-DUMPING DUTY COMPLAINT TO ADDRESS UNFAIRNESS IN THE CANADIAN RENEWABLE DIESEL MARKET

 

News provided  

CALGARY, AB, Jan. 6, 2025 /CNW/ - Tidewater Renewables Ltd. ("Tidewater Renewables" or the "Corporation") (TSX: LCFS) has taken decisive action to protect fair competition in the Canadian renewable diesel market by filing a countervailing (anti-subsidy) and anti-dumping duty complaint (the "Complaint") with the Canada Border Services Agency ("CBSA") at the end of 2024. The Complaint targets unfairly traded imports of renewable diesel from the United States that significantly undermine the Canadian industry.As previously disclosed, Tidewater Renewables engaged external trade law counsel for the purposes of evaluating legal options to address market distortions caused by unfair U.S. subsidies and dumping practices, including advising on and preparing the Complaint. This action reflects the Corporation's commitment to ensuring a level playing field for its production and sale of renewable diesel and BC LCFS and CFR emission credits.

If Tidewater Renewables is successful in this process, which management believes has a reasonably high likelihood of success, duties valued between $0.50 and $0.80 per litre could be imposed at the Canada/U.S. border to counter the subsidized and dumped U.S. renewable diesel imports. This reflects the Corporation's estimates that U.S. renewable diesel imports benefit from an average amount of subsidization and dumping of between 40% to 60%. Tidewater Renewables believes these measures are essential to remedy and offset the significant impact of U.S. subsidies, such as the Blender's Tax Credit and the forthcoming Production Tax Credit, which enable U.S. producers to export renewable diesel to Canada at artificially low prices.

"Tidewater Renewables supports healthy competition in the renewable diesel market but cannot compete in a market severely distorted by foreign subsidies and dumping practices," said Jeremy Baines, Chief Executive Officer of Tidewater Renewables. "Our legal action is necessary to restore fairness in the marketplace, protect our employees and shareholders, and secure the long-term viability of Canada's renewable diesel industry."

In accordance with the Special Import Measures Act, CBSA's investigation is expected to proceed swiftly. CBSA may publicly initiate an investigation in February 2025, with preliminary duties potentially being imposed as early as May 2025. Final duties, which will be subject to a ruling by the Canadian International Trade Tribunal, may be imposed by September 2025.  If final duties are imposed at the levels expected by management, they would support long-term market stability for Tidewater Renewable's renewable diesel production and its related emission credits.

This important step is part of Tidewater Renewables' broader commitment to supporting Canada's energy transition and ensuring the integrity of the Canadian renewable fuels market.

[rustyblades]

I would guess that if Trump goes ahead with his national 25% sales tax on all imports that one of the quick reactions would be countervailing duties on renewable diesel especially if an anti dumping complaint is already filed.

[wynner]

ALL new pipelines to the coast and all new LNG projects are GO. Now that we need a contract with someone we can trust. Refineries are needed . Not just the fossil fuel kind. A matter of life and death for Canada.

[SigmaKappa]

So what happens if a new federal gov party reduces the carbon tax, impacting offset credits. 

[wynner]

The LCFS credits are just in British Columbia . CCR credits are federal and are in addition to LCFS in BC.  This is  the "axe the tax" that they repeat ad nauseam . About $50 or something that will likely get canned. Not the $500 LCFS provincial credits to "Clean BC"

[wynner]

OOPS! Not CCR credits. That would be Creedence clearwater. A different stock all together. Google CFS carbon credits. As of April 1, 2024, the federal carbon tax (CFS) in Canada is $80 per tonne of greenhouse gas emissions.   

[wynner]

  Not in BC but EXXON/Imperial oil will get it (in the neck) in Alberta. Oh Oh. Bad PP. BC LCFS brings in $3 billion to the government that will rise as they bring on more projects. The CFS applies to all Canadian provinces, except for Qubec, Northwest Territories, and British Columbia.