US Ethanol Industry Supports SE Asia Markets

Cindy Zimmerman

USGC meeting with Vietnam’s Ministry of Industry and Trade

Representatives of the U.S. ethanol industry recently traveled to Southeast Asia to provide support for the governments of Indonesia and Vietnam as they expand their domestic fuel ethanol policies.

Renewable Fuels Association (RFA) Vice President Tad Hepner joined U.S. Grains Council President and CEO Ryan LeGrand and staff based in its Southeast Asia and Oceania regional office for high-level meetings with government officials and private sector leaders.

Indonesia is working toward instituting a five percent blend of fuel ethanol into gasoline for retail use (E5) in 2025 and a 10 percent blend (E10) by 2030. Concurrently, Vietnam is exploring opportunities to expand its current E5 mandate for the RON92 (88 AKI) grade of gasoline. Indonesia and Vietnam currently consume roughly 10 billion gallons and three billion gallons of gasoline per year, respectively.

“The governments of Indonesia and Vietnam see the potential of ethanol in reducing costs along the supply chain while simultaneously reducing greenhouse gas emissions, and the Council and its allies are working to assure policymakers that ethanol is a viable and compatible option for nearly all road vehicles,” LeGrand said.

In Indonesia, the team met with Pertamina, Indonesia’s state-run oil and gas company, to discuss the company’s current bioethanol trial and tour Indonesia’s largest fuel terminal, where fuel ethanol blending is now happening. The delegation then traveled to Vietnam for meetings with the Ministry of Industry and Trade and the Ministry of Finance to discuss further cooperation activities underpinning Vietnam’s efforts to expand the use of ethanol.

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