NASHVILLE, Tenn. (RFD NEWS) — U.S. ethanol production and exports strengthened in 2025, reinforcing corn demand and reshaping transportation patterns across major domestic and export corridors.
Production rose 2 percent from 2024 and was 8 percent above the five-year average, supported by large corn supplies, improved plant efficiency, and firm international demand. Rail remained the dominant transport mode, moving 68 percent of Midwest output, with shipments primarily routed to the East Coast, Gulf Coast, and West Coast fuel markets.
Overall, Class I rail movements rose 1 percent from 2024 and 10 percent from the five-year average, though second-half rail volumes declined slightly as some shipments shifted to truck and barge.
Farm-Level Takeaway: Strong exports and production support ongoing corn demand.
Tony St. James, RFD NEWS Markets Specialist
Exports accounted for about 15 percent of total U.S. ethanol demand in 2025, reaching 2.18 billion gallons — up 13 percent year over year and 52 percent above the five-year average. Canada, the Netherlands, India, the United Kingdom, and Colombia purchased 76 percent of shipments, driven largely by national blending mandates ranging from E5 to E20.
Looking ahead, federal forecasts show ethanol production and exports holding near record levels into 2026 as blending demand stabilizes and corn use for ethanol rises.
Strong supplies and rising stocks point to continued price pressure unless demand accelerates.
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