Ethanol Markets Under Pressure from Record US Corn Yields and Production

Mandate Support and Compliance

Renewable Volume Obligations for 2026 continue to provide a floor for demand. While discretionary blending is low due to cheap gasoline, mandatory federal targets ensure ethanol remains a stable component of the U.S. energy mix.

Export Expansion

U.S. producers are increasingly looking to international markets, particularly India and Canada, to absorb the domestic surplus. Competitive pricing of U.S. biofuels is currently capping the upside for ethanol in the short term.