Ethanol Exports Still Strong in February

Cindy Zimmerman Leave a Comment

Despite a one percent drop from January, U.S. ethanol exports remained strong in February at nearly 210 million gallons (mg), which is 36 percent higher than year-ago levels, according to the latest Renewable Fuels Association Trade Monitor report.

More than half of February shipments went to Canada and the European Union, with the balance distributed across nine other countries. Canada remained the top overall destination, even as exports eased 12% to a 10-month low of 61.2 mg, and it accounted for 70% of all denatured fuel ethanol shipments. The European Union continued to lead as the largest market for undenatured fuel ethanol. Total ethanol exports to the European Union surged 42% to a record 49.8 mg, led by the Netherlands. Exports to India jumped 120% to a three-month high of 26.7 mg. Brazil fell 30% from January to 25.7 mg; even so, U.S. exports to Brazil in just the first two months of 2026 already exceed Brazil’s full-year 2025 imports by 25%. Rounding out the top markets were Colombia (10.0 mg, -17%), the United Kingdom (9.3 mg, +17%), South Korea (6.9 mg, -2%), Mexico (6.5 mg, +57%), the Philippines (5.9 mg, -48%), and Peru (5.8 mg, up fourfold). Year-to-date U.S. ethanol exports totaled 421.9 mg, 25% ahead of the same period last year.

There were minimal ethanol imports in February, with just 138,663 gallons arriving from Brazil and Canada. Total imports for the year remain below 200,000 gallons.

Meanwhile, U.S. exports of dried distillers grains (DDGS) dropped nine percent from January to 919,855 metric tons (mt), fueled by a 23% drop in shipments to top market Mexico. However, year-to-date DDGS exports reached 1.93 million mt, 16% above the same period last year.

South Korea increased 2% to 123,571 mt, while Indonesia rose 11% to 101,868 mt. Colombia slipped 19% from a record high to 84,597 mt. Vietnam dipped 1% to 70,438 mt, its lowest shipment volume in a year. Other major markets included Canada (46,460 mt, -14%), Turkey (45,245 mt, -24%), the European Union (40,639 mt, +17%), Morocco (40,233 mt, +63%), and Japan (26,250 mt, -12%). The remaining one-third of February shipments was spread across 27 additional countries.

Distillers Grains, Ethanol, Ethanol News, Exports, Renewable Fuels Association, RFA

Stakeholders Submit Comments on 45Z Regs

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Industry stakeholders submitted comments this week to the U.S. Department of the Treasury and the Internal Revenue Service regarding proposed rules on the 45Z Clean Fuel Production Credit.

The proposed regulations, released on February 3, provide guidance on the determination of clean fuel production credits, emissions rates, and certification and registration requirements. The proposal would extend the credit to Dec. 31, 2029, limit feedstocks to those grown or produced in North America, and eliminate the special rate for sustainable aviation fuel, among other stipulations.

Renewable Fuels Association President and CEO Geoff Cooper says the proposal makes “meaningful progress” in developing rules implementing tax credit, but the top priority for Treasury should be releasing an updated 45ZCF-GREET model as soon as possible.

“The technology-neutral structure of 45Z is a crucial feature, allowing clean fuel producers to pursue the most economically efficient and practical pathways for reducing emissions and boosting domestic energy production,” wrote Cooper in RFA’s comments to Treasury. “However, as currently drafted, certain aspects of the proposal introduce inconsistencies and implementation challenges that may limit participation, create unintended market impacts, and reduce the near-term effectiveness of the program.”

In addition to updating 45ZCF-GREET model, RFA says agencies should work with USDA to finalize and integrate workable, equitable, and science-based technical guidelines for regenerative agriculture feedstocks and an updated Feedstock Carbon Intensity Calculator (FD-CIC). Treasury should adopt a more flexible Provisional Emissions Rate process that allows for efficient characterization of new technologies and incremental emissions-reducing improvements at existing clean fuel facilities, as well as clarifying certain rules, such as the interaction of “undenatured fuel ethanol” and “denatured fuel ethanol” for 45Z credit generation, and that only transportation and industrial fuels are eligible for the credit.

In comments from the American Coalition for Ethanol (ACE), CEO Brian Jennings stressed the significant financial pressure facing rural America and that enabling farmers and producers to benefit from low-carbon practices is critical to unlocking the full value of the 45Z credit.

“Since farming practices represent about half of ethanol’s carbon intensity, clean fuel producers must have the opportunity to monetize low-carbon farming practices such as reduced tillage or precision fertilizer use to fully unlock the value of 45Z,” said Jennings. “If Treasury allows low-carbon farming practices to qualify towards emissions rates it could mean billions of dollars annually for clean fuel producers and farmers, providing a market-based opportunity to dramatically increase rural and farm income.”

ACE also noted the importance of keeping 45ZCF-GREET model and FD-CIC updated with the latest science and real-world data supported through activities such as the USDA Regional Conservation Partnership Program (RCPP) activity being led by ACE and specifically designed to address information gaps regarding the low-carbon benefits of farming practices to help improve the accuracy of modeling tools.

“We have strongly recommended updates to FD-CIC values for low-carbon farming practices by incorporating the best available science and results from real-world activities, so we are encouraged Treasury expects to make these updates as part of future iterations of the 45ZCF-GREET.”

In their comments to Treasury, fuel retailer organizations NATSO, NACS and SIGMA, which represent 90 percent of fuel sold at retail, continue to urge Congress to reinstate the Biodiesel Blenders’ Tax Credit to help stabilize fuel supplies and help lower prices for consumers, claiming that the 45Z tax credit is not helpful.

“The real-world implications on American energy supplies and the price that consumers pay at the pump should serve as the regulatory North Star of biofuel policy…“The ‘45Z’ Credit is not alleviating these affordability challenges for American consumers and businesses. It has not helped American consumers by lowering fuel prices and it has not helped American farmers by increasing sales of corn or soybeans used to produce renewable fuels.”

ACE, Ethanol, Ethanol News, Renewable Fuels Association, RFA

IRFA Advocates for Biodiesel in Clean School Bus Program

Cindy Zimmerman Leave a Comment

The Iowa Renewable Fuels Association (IRFA) recently submitted comments in response to the Environmental Protection Agency’s (EPA) request for information on the Clean School Bus (CSB) Program. The EPA sought feedback on a broad range of fuel options that school buses could use to reduce emissions, including biofuels, natural gas, and hydrogen, in their revamping of the program.

In its comments, IRFA strongly recommended allocating substantial resources towards biodiesel infrastructure to enable the use of B20 (20% biodiesel, 80% petroleum diesel) or higher blends, engine modification technologies for buses to use blends as high as B100, and incentivizing the purchase of biodiesel to allow school districts to try it in their fleets.

IRFA participated in a study with Humboldt Community School District in Iowa to evaluate the benefits of switching its fleet from conventional diesel to B11. The study found a 3.4% increase in fuel economy, an 11.2% decrease in fuel burned for DPF regeneration, and consistent results when more buses in the fleet were switched to biodiesel.

“IRFA recommends that EPA allocate CSB grant funds toward helping “buy down” higher biodiesel blends for participating school districts. They may be interested and willing to make the switch to blends such as B20, but making any kind of change can be a risky decision, especially for districts with limited budgets. As demonstrated by the Humboldt pilot study, school districts that are incentivized to compare biodiesel blends with conventional diesel will see benefits, making continued adoption more likely.”

Biodiesel, Electric Vehicles, Iowa RFA

E15 Sales Hit Records as Push Continues for Legislation

Cindy Zimmerman Leave a Comment

According to a Renewable Fuels Association analysis, sales of 15 percent ethanol blended gasoline hit a record 1.52 billion gallons in 2025, an increase of 23 percent over 2024, despite the continued ban on E15 in many states during the summer requiring federal waivers to allow sales for the past several years.

Data released by state agencies in Minnesota and Iowa show significant increased sales per station and accelerated growth in the number of stations offering E15. Minnesota and Iowa are the only two states for which reliable government data exist for E15 sales volumes.

Reported sales of E15 surged 60 percent in Iowa to more than 410 million gallons thanks to the state’s E15 Access Standard, which required most retailers to make the fuel available to consumers by the beginning of this year.

While a significant number of stations that sell E15 and other midlevel blends of ethanol in Minnesota are not required to report their volumes to the Department of Commerce, E15 has accounted for 99 percent of midlevel blend sales reported in Minnesota in recent years. Multiplying this share by DOC’s estimate of total midlevel blend sales implies that 169 million gallons of E15 were sold in the state last year.

Across the United States, RFA estimates that the number of stations offering E15 rose to 4,600 by the end of 2025, an increase of 900 from the end of 2024, which is equal to the combined increase over the prior two years.

Total U.S. E15 sales can be estimated using the data for Iowa and Minnesota, given that the two states account for more than a third of U.S. stations offering E15. Average annual E15 sales per reporting station across the states have centered around 365,000 gallons over the last five years.

Multiplying the number of stations selling E15 in the U.S. by the average of reported sales per station in Iowa and Minnesota, RFA estimates that nationwide E15 sales increased to a record 1.52 billion gallons in 2025, compared to 1.24 billion gallons a year earlier.

Meanwhile, despite the lack of action on E15 in Congress, groups continue to push for legislation. Rural Voices USA is targeting Iowa, Minnesota, and Wisconsin in a digital and billboard ad campaign to “Stop the Stall” in Congress, noting those states are among the hardest hit with the worst ag economy in decades.

E15, Ethanol, Ethanol News, Renewable Fuels Association, RFA

Ethanol Report on EPA Announcements

Cindy Zimmerman Leave a Comment

The Trump administration hit two home runs for the ethanol industry during the last week of March amidst National Agriculture Month celebrations – announcing waivers to allow sales of E15 through the summer, in lieu of Congressional action to make it permanent, and finalizing the long-delayed renewable volume obligations for 2026 and 2027.

In this edition of The Ethanol Report podcast, Renewable Fuels Association president and CEO Geoff Cooper discusses the actions by the administration and why the industry is still pressing for permanent nationwide E15 to be passed by Congress yet this year.

Ethanol Report 4-1-26 26:26

The Ethanol Report is a podcast about the latest news and information in the ethanol industry that has been sponsored by the Renewable Fuels Association since 2008.

Choose an option to subscribe

Audio, E15, EPA, Ethanol, Ethanol News, Ethanol Report, Renewable Fuels Association, RFA, RFS

Illinois Reaches B20 Milestone

Cindy Zimmerman Leave a Comment

Effective today, April 1, biodiesel blend incentive requirements will increase from B17 to B20 in Illinois, marking the final step in the implementation of Illinois’ B20 incentive passed by the state legislature in 2022.

According to the Illinois Soybean Association, this means every gallon of diesel that contains 20% biodiesel will be exempt from 6.25% sales taxes. There is an 11% percent blend rate during the winter months.

While the biodiesel industry overall saw a decrease in use by 924 million gallons or 45% last year (according to U.S. Department of Energy data), Illinois saw an increase of biodiesel use of 10 million gallons or 5%, due to the incentive (according to Illinois Department of Revenue data).

Clean Fuels Alliance America Director of State Governmental Affairs Jeff Earl said the Illinois incentive is a clear example of how consistent state policy can accelerate clean fuel use while delivering real economic benefits. “Illinois has created a model that supports farmers, strengthens fuel markets and improves air quality all at the same time,” said Earl. “This B20 milestone is not just a win for clean fuels; it’s a win for rural communities, the environment and energy security.”

Biodiesel, Clean Fuels Alliance

Iowa E15 Sales Shatter Record with 60% Increase

Cindy Zimmerman Leave a Comment

The Iowa Department of Revenue released the 2025 Retailers Motor Fuel Gallons Annual Report this week, showing E15 sales increased 60% last year in Iowa to over 410 million gallons sold. At the end of 2025, almost half of Iowa fuel stations offered E15, with the blend accounting for 27% of gasoline sales.

Renewable Fuels Association President and CEO Geoff Cooper says this shows what’s possible when E15 is given fair access to the marketplace. “E15’s market share in Iowa has gone from just a sliver of the gasoline pool several years ago to more than a quarter of total volume today. Iowa drivers are clearly responding to E15’s lower price at the pump, its performance in their vehicles, and its positive impact on the environment. Iowa is again setting the pace when it comes to using homegrown renewable fuels, and we encourage other states to follow their lead.”

Iowa adopted the E15 Access Standard several years ago, compelling most retailers in the state to make the fuel available to consumers by Jan. 1, 2026. “The massive growth in E15 sales reflects the success of Governor Reynolds’s E15 Access Standard,” said Iowa Renewable Fuels Association (IRFA) Executive Director Monte Shaw. “With Iowa drivers saving an average of 15 cents per gallon by choosing E15, the cost savings equal an estimated $61.5 million. E15 is well on its way to becoming the new normal fuel in Iowa.”

However, the report also showed that less than 51 million gallons of biodiesel were sold in Iowa last year, which is down from about 82 million gallons of biodiesel sold during 2024.

“2025 was the predictable result of being completely unsettled by federal policy,” commented Shaw. “Low RFS blend levels for 2025, combined with no guidance on federal tax credits during the same period, disrupted the biodiesel market. Iowa biodiesel took a big hit but can weather the storm and rebound quickly with the right policies put in place.”

Biodiesel, E15, Ethanol, Ethanol News, Renewable Fuels Association, RFA

Industry Reacts to Final RFS Volumes

Cindy Zimmerman

Ethanol industry stakeholders are pleased with the Environmental Protection Agency (EPA) finalized Renewable Volume Obligations (RVOs) for the 2026 and 2027 compliance years under the Renewable Fuel Standard (RFS) ‘Set 2’ Rule overall, but still take issue with the 70% partial reallocation of the 2023–2025 granted small refinery exemptions (SREs).

Renewable Fuels Association President and CEO Geoff Cooper says they advocated for full reallocation of the 2023-2025 SREs, but at least the 70 percent reallocation included in the final rule is better than other options that were under consideration as low as 50 percent.

“We continue to believe small refinery exemptions are completely unjustified, and the SRE petition process—including EPA’s reliance on the Department of Energy’s ‘scoring matrix’—is fundamentally flawed,” Cooper said. “SREs distort the market, undermine fair competition, and destabilize the RFS program. And while RFA appreciates EPA’s efforts to minimize market disruptions by reallocating most of the renewable volume lost to SREs, we believe the Agency has a duty to fully restore all exempted volumes.”

American Coalition for Ethanol (ACE) CEO Brian Jennings says failing to fully account for any SREs granted risks undermining the intent of the RFS.

“The integrity of the RFS depends on ensuring volume obligations translate into real-world demand,” said Jennings. “Importantly, EPA has the authority to set volumes that require more than 15 billion gallons of conventional biofuels annually. We would encourage EPA to seriously consider higher volumes next year to account for any negative impact from SRE gallons not being fully reallocated and for potential E15 increases.”

Even the American Petroleum Institute (API) says reallocating volumes from SREs “distorts the marketplace, rewarding exempted refineries while disadvantaging the majority of refiners who are not exempted. This highlights the need for legislative reform to ensure the RFS delivers certainty, supports investment, and maintains a reliable fuel supply.”

ACE, EPA, Ethanol, Ethanol News, Renewable Fuels Association, RFA, RFS

RFS Set 2 Announced at White House Farmer Event

Cindy Zimmerman

Hundreds of farmers and ranchers representing various regions and commodities joined President Donald Trump on the south lawn of the White House Friday to hear him make several announcements related to agriculture, including addressing Diesel Exhaust Fluid (DEF) system complaints, and finalizing historically high Renewable Fuel Standard volume obligations.

“I’m also announcing a dramatic update to the Renewable fuel standards for 2026 and 2027,” said President Trump. “We will now be requiring the highest volumes of renewable fuels in history. These new standards will generate over $10 billion of rural economic benefit, create an estimated 100,000 new jobs, and massively increase our nation’s energy supply. It’ll come right out of the farms.”

EPA is also finalizing a 70 percent partial reallocation of the 2023–2025 exempted Renewable Volume Obligations for the 2026 and 2027 compliance years. This approach will balance a number of factors that come into play when considering volume requirements and the impacts of SREs, including protecting biofuel demand while maintaining a stable and functioning credit market.

EPA is announcing that starting in 2028, foreign fuels and feedstocks will receive half the RFS compliance value compared to American-made products, providing American biofuel producers with time to prepare for the change while ensuring that American farmers benefit from the RFS program and American energy independence.

President Trump also mentioned the E15 action taken by EPA earlier this week and urged Congress to make it permanent. “To help lower gasoline prices for farmers and consumers, this week I issued an emergency order to allow immediate sales of E15. And just as I promised in the campaign, I’m seeking congressional action to allow E15 all year round, okay? And I’m trusting Speaker Johnson and Leader Thune, they’re two good men. I’m trusting them to find a deal that works for farmers, consumers, and refiners, including small and mid-sized refiners. And they’re going to send me a bill, and we should be able to get that done. We’ve worked with the refiners before, and we’re going to get that done.”

Listen to all of Trump’s comments to farmers and ranchers here:
President Trump speaks to farmers at White House 35:47

Audio, biofuels, E15, EPA, Ethanol, Ethanol News, RFS

Poll Finds Overwhelming Support for E15 to Lower Prices

Cindy Zimmerman

A new poll from Morning Consult, conducted for the Renewable Fuels Association, finds an overwhelming majority of registered voters support expansion of the lower-cost E15 fuel blend and legislation to make the fuel permanently available year-round and nationwide.

“These polling results send a clear and unequivocal message to policymakers: American voters want expanded access to lower-cost E15—and they want it now,” said RFA President and CEO Geoff Cooper. “By a margin of eight-to-one, voters who expressed an opinion on E15 support efforts to broaden the availability of this more affordable, cleaner-burning fuel. It’s time for Congress to listen to American voters and get the job done. Hardworking families across the country clearly understand that E15 can help them save money, while enhancing our national energy security at a time of great uncertainty. Many in Congress have voiced support for passing year-round E15 legislation, but now it’s time for action.”

The survey of more than 2,000 registered voters indicates that 71 percent support efforts to increase the availability of E15. Only 12 percent of voters oppose expanding E15, with 17 percent expressing no opinion. Meanwhile, two-thirds of voters (66 percent) support the Nationwide Consumer and Fuel Retailer Choice Act, which would make E15 available year-round by removing an outdated regulatory barrier. Only 15 percent of respondents oppose the legislation. When considering only those respondents who expressed an opinion (i.e., removing those “don’t know” and “no opinion” responses), 85 percent support increasing the availability of E15, while 82 percent support the legislation as a way to help lower fuel prices and support energy independence.

In addition, the poll found 81 percent of respondents are concerned about gas price fluctuations, with 51 percent being “very concerned.” Moreover, 67 percent said rising gas prices would affect their vote in the upcoming midterm elections, with only 27 percent saying higher prices will have little or no impact on their vote. And, by a margin of six-to-one, respondents said the current situation in the Middle East makes them more supportive of policies that promote American-made biofuels like ethanol.

Almost 90 percent believe it is important for America to be energy independent (up 10 percentage points from December’s polling), and 80 percent think renewable fuels like ethanol are important to American energy independence.

Finally, with EPA on the edge of finalizing 2026-27 Renewable Fuel Standard volumes, respondents were asked about exempting small refiners from their biofuel blending obligations. Of those who had an opinion on the matter, 72 percent said oil companies should be required to meet current biofuel blending requirements and only 28 percent believe the government should allow oil companies to avoid blending requirements.

Ethanol, Ethanol News, Renewable Fuels Association, RFA