Korean B-grade ethanol prices softened on Tuesday as ongoing concern over the health of Chinese demand contributed to a wider selloff in global ethanol markets on Monday which carried through much of Tuesday’s session although late in the day a surprise Chinese interest rate reduction buoyed financial markets. Buyers largely held off on Tuesday, with no bids seen, and offers sitting still around 510USD/m3, leaving assessed value down $5 at 490USD/m3. The Brazilian Real/USD showed a downturn once more, dropping 1% yesterday to 0.2815 against the US dollar. For the first time, China imported 15,000m3 of Brazilian ethanol in July, echoing an increase in South Korean imports of Brazilian ethanol, up 47% MoM to 11,000m3. Chinese ethanol imports were up over 200% in July, sitting at 69,077m3. Most of this was imported from Pakistan, taking advantage of the duty free arrangement between the two countries established earlier this year. Pakistan has grown as the main exporter of B-grade ethanol to China since April, while Pakistan’s exports to South Korea dropped 84% in July.