Insight Focus
US ethanol production and stocks have risen year-on-year. The RFA is calling on President Trump to lift regulatory barriers blocking wider E15 use amid record inventories and idle capacity. California, the last holdout on E15, approved funding to legalise the fuel through state rulemaking.
US Ethanol Stocks Climb Despite Production Dip
The US Energy Information Administration (EIA) recently reported that ethanol production averaged 1.081 million barrels per day, the lowest since late May. This figure is down 28,000 barrels on the week but up 38,000 barrels on the year.

Source: EIA
Ethanol stocks, at 24.404 million barrels, increased by 284,000 barrels from the previous week and by 981,000 barrels compared to a year ago.

Source: EIA
Ethanol demand figures appear positive. The Renewable Fuels Association (RFA) said net inputs of ethanol purchased by refiners and blenders were fractionally higher, and the volume of gasoline supplied to the market rose by 4%. Ethanol exports averaged 110,000 barrels per day in the latest EIA report, 53,000 barrels fewer than the prior week but 38,000 barrels more than last year.

Source: EIA
RFA Urges Trump to Remove Regulatory Barriers to E15
While US ethanol production continues to grow slowly, lawmakers in Washington, DC and biofuel producers across the country continue to advocate for increased use of E15.
As tensions in the Middle East create uncertainty and volatility in global fuel markets, the Renewable Fuels Association is urging President Trump to swiftly eliminate burdensome regulatory roadblocks that are preventing broader use of the US-made, lower-cost E15 gasoline blend.
In a letter to President Donald Trump, RFA President and CEO Geoff Cooper emphasised that the US has record-large ethanol inventories and underutilised production capacity due to artificial barriers blocking access to the domestic marketplace. Removing these barriers and allowing E15 sales through existing infrastructure would help contain potential fuel price spikes caused by ongoing conflict in the Middle East and Eastern Europe.

“Today, the US has a seasonal record volume of ethanol sitting in storage,” wrote Geoff Cooper, who also noted that the industry has 130,000 barrels per day of idled production capacity. “Meanwhile, ample domestic grain supplies are available to support expanded ethanol production, and farmers are projected to harvest a record-large corn crop this fall. Outdated regulatory barriers are blocking larger volumes of ethanol and fuel blends like E15 from reaching the marketplace.”
Cooper said unwarranted regulatory burdens are preventing US consumers from experiencing the full cost-cutting benefits of ethanol.
Cooper concluded in his letter that now is the time to unleash US-made E15. “The most effective way to prevent sudden increases in gas prices across the US is by expanding and diversifying the domestic fuel supply, including ethanol made from our nation’s farm fields,” he wrote. “Knocking down regulatory barriers and allowing E15 to be stored and distributed in existing infrastructure will lower fuel costs for Americans and strengthen the market’s resilience against global supply disruptions.”
The EPA issued nationwide emergency summer waivers for E15 gasoline for a fourth straight year on May 1, while eight Midwestern states — Illinois, Iowa, Minnesota, Missouri, Nebraska, Ohio, South Dakota and Wisconsin — currently have year-round access to E15.

In addition to continuing emergency E15 fuel waivers through September 15, Cooper urged Trump to establish a presumption of E15 compatibility with fuel infrastructure installed after 1998 to alleviate concerns that higher ethanol blends could damage equipment.
California Moves Closer to Legalising E15
Meanwhile, in California, lawmakers approved a state budget that includes funding for the rulemaking process needed to make E15 a legal fuel.
The provision ensures that the California Air Resources Board (CARB) has the financial support necessary to finalise regulatory work related to E15 and help expand consumer access to the fuel across the state.
California remains the only state where E15 is not yet legal for sale, despite its long-standing approval by the EPA for use in vehicles model year 2001 and newer.
