US ethanol exports hit record high in 2024

According to the EIA, exports of fuel ethanol from the United States in the first 8 months of this year increased by 34.92% to a record 29.59 million barrels compared to the same period in 2023, S&P Global Platts reports.

Low prices for U.S. ethanol amid stable global demand helped to increase its supply from the United States to the UK, India and Colombia. Exports were also boosted by a reduction in ethanol supplies from Brazil, where domestic demand for E100 reached a multi-year high amid a sharp increase in overall fuel consumption and low Brazilian prices.

According to the Brazilian association UNICA, from January to October 2024, the country exported 1.6 billion liters of ethanol, which is 17% less than the corresponding figure last year.

The increase in ethanol exports from the United States has mitigated the effects of large US corn stocks and production, preventing prolonged periods of oversupply in the markets and maintaining good margins. According to Platts, ethanol cash margins have been positive for most of 2024 and have remained unchanged since early October.

According to the EIA, in 2024, US ethanol production reached a record high of 1.046 million barrels per day, compared to an average daily rate of 1.024 million barrels per day in 2023.

Tags: ethanol, USA