As Industry Develop Exports, U.S. A Dominant Biofuels Producer

U.S. leader
This week’s USGC’s Chart of Note illustrates the supply that will be able to fill that demand, clearly showing that the United States is the leader in producing biofuels, including ethanol and biodiesel.

The U.S. Grains Council (USGC) is working with partners including the U.S. Department of Agriculture’s (USDA’s) Foreign Agricultural Service (FAS), the Renewable Fuels Association (RFA) and Growth Energy to develop and execute global market development programs for U.S. ethanol in select markets including Canada, China, Colombia, the European Union, Japan, Mexico and the Philippines. 

This week’s USGC’s Chart of Note illustrates the supply that will be able to fill that demand, clearly showing that the United States is the leader in producing biofuels, including ethanol and biodiesel. 

The majority of U.S.-produced biofuels is corn-based ethanol. Domestic use of this fuel in the United States is reaching its current maximum under the Renewable Fuel Standard, with the E10 blend wall inhibiting the further growth of U.S. demand. Still, U.S. producers have the capacity for more as markets can be developed, making ethanol exports a potential new demand source that could sustain continued growth in U.S. ethanol production.

The Council and its partners are working to build on existing ethanol exports, which amounted to 800 million gallons in 2014. As other countries adopt transportation fuel oxygenate requirements to help reduce air pollution, U.S. ethanol exports could be desirable in many markets.

Click here to learn more about this work from articles published in previous editions of Global Update.