Ethanol Output Slips While Stocks and Exports Rise

Ethanol exports jumped 41% as domestic gasoline demand weakened.

WASHINGTON, D.C. (RFD News) — U.S. ethanol production eased during the week ending September 4, but output remained well above the five-year average as gasoline demand softened and fuel inventories increased.

The Renewable Fuels Association says production fell 1% to 1.10 million barrels per day, equal to 46.16 million gallons daily. Output was 0.5% below a year ago but 7.2% above the five-year average.

Ethanol stocks increased 0.6% to 25.2 million barrels, standing 10.3% above last year. Gasoline supplied dropped 4.2% to 8.55 million barrels per day, the lowest weekly level since late February.

Energy Information Administration data also show the four-week average for gasoline supplied was 1.4% below the same period last year, reinforcing signs of softer fuel demand. Refiner and blender ethanol inputs fell 3.4% to an eight-week low.

Exports provided a stronger signal, climbing 41% to 147,000 barrels per day. Strong export movement helps offset weaker domestic blending demand and keeps ethanol production supportive for corn use.

Farm-Level Takeaway: Ethanol production remains historically strong, but softer gasoline demand and higher inventories bear watching for corn-use implications.
Tony St. James, RFD News Markets Specialist

Tony St. James joined the RFD-TV talent team in August 2024, bringing a wealth of experience and a fresh perspective to RFD-TV and Rural Radio Channel 147 Sirius XM. In addition to his role as Market Specialist (collaborating with Scott “The Cow Guy” Shellady to provide radio and TV audiences with the latest updates on ag commodity markets), he hosts “Rural America Live” and serves as talent for trade shows.

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