LUBBOCK, Texas (RFD News) — U.S. ethanol production and exports both increased through the first five months of 2026, strengthening an important source of corn demand. Production rose 3 percent from last year and 8 percent above the five-year average.
Exports increased 12 percent from the same 2025 period and 43 percent above the five-year average. Canada accounted for 39 percent of shipments, followed by the Netherlands at 20 percent, Brazil at 8 percent, and Colombia and South Korea at 6 percent each.
Strong production supported ethanol transportation demand, although Class I rail movements fell 3 percent from last year. The report says some shipments may have shifted to trucks and barges as exports increased.
The Port of Houston handled 54 percent of ethanol export volume through May. Brazil also purchased 72 million gallons during the first quarter before its sugarcane harvest reduced import demand.
Looking ahead, ethanol production is projected to average 1.09 million barrels per day in 2026, while USDA expects corn use for ethanol to rise 1 percent next marketing year.
Farm-Level Takeaway: Strong ethanol production and exports continue providing meaningful demand support for U.S. corn.
