Ethanol Production Surges to Record as Demand Improves

Record ethanol production and improving blending demand continue to support corn usage despite rising short-term inventories.

Farmland producing ethanol for the oil and gas industry. Railroad tankers cars lined up near a ethanol plant at sunset_Photo by photogrfx via AdobeStock_496174713.png

Photo by photogrfx via Adobe Stock

NASHVILLE, Tenn. (RFD NEWS) — U.S. ethanol production surged to a record high in early January, signaling strong operational momentum even as fuel demand and inventories remain seasonally mixed. According to Energy Information Administration data analyzed by the Renewable Fuels Association, ethanol output jumped 8.9 percent for the week ending January 9, climbing to 1.20 million barrels per day — the highest weekly level on record.

Production ran 9.2 percent above the same week last year and nearly 14 percent above the three-year average, reflecting aggressive run rates across much of the industry. The four-week average production rate also moved higher, reaching an annualized pace of 17.32 billion gallons, reinforcing the strength of near-term supply.

Ethanol stocks increased 3.5 percent to 24.5 million barrels, though inventories remain slightly below both year-ago levels and the three-year average. Stock builds occurred in most regions, with the Midwest the only area where inventories declined, suggesting continued strong blending or shipment activity in the core production region.

Demand indicators improved modestly. Gasoline supplied rose 1.6 percent week over week, while refiner and blender ethanol inputs rebounded more than 9 percent and exceeded both last year and the three-year average. Exports also strengthened, climbing to an estimated 119,000 barrels per day, with no ethanol imports reported for more than a year.

Farm-Level Takeaway: Record ethanol production and improving blending demand continue to support corn usage despite rising short-term inventories.
Tony St. James, RFD NEWS Markets Specialist
Related Stories
Export strength is concentrated in corn and wheat, while soybeans and sorghum lag, keeping basis and logistics dynamics highly commodity-specific into late fall.
If the House concurs and the President signs, USDA services and farm-bill programs resume at full speed with authorities extended for another year.
Ohio AgNet’s Dusty Sonnenberg takes us up in the cab with a popcorn farmer bringing in this year’s haul.
Here is a regional snapshot of harvest pace, crop conditions, logistics, and livestock economics across U.S. agriculture for the week of Monday, Nov. 10, 2025.
Congressman Blake Moore of Utah discusses the bill’s potential to promote both economic growth and healthier forests on this week’s Champions of Rural America.
Mike Newland with the Propane Education & Research Council shares how producers can prepare for winter weather and the benefits of propane.

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.

LATEST STORIES BY THIS AUTHOR:

Pasture, Rangeland and Forage (PRF) interval selection—not just participation—drives protection levels as rainfall patterns become less predictable across the South.
A smaller U.S. turkey flock and resurgent avian flu have tightened supplies, driving prices higher even as other key holiday foods show mixed trends.
ARC/PLC, marketing loans, and crop insurance each matter at different points in the price cycle — and the new Farm Bill strengthens the balance among them.
The DOJ’s new antitrust probe could reshape beef-packer behavior, with potential impacts on fed-cattle prices, processor margins, and long-term competition across the supply chain.
The Senate has cleared a path to reopen USDA, but full restoration of services depends on House approval and the President’s signature.
Verified U.S. data show real leather’s carbon footprint is lower than advertised — an edge for the American cattle industry in both marketing and byproduct value.
Agriculture Shows
Special 3-part series tells the story of the Claas family’s legacy, which changed agriculture forever.
From soil to harvest. Top Crop is an all-new series about four of the best farmers in the world—Dan Luepkes, of Oregan, Illinois; Cory Atley, of Cedarville, Ohio; Shelby Fite, of Jackson Center, Ohio; Russell Hedrick, of Hickory, North Carolina—reveals what it takes for them to make a profitable crop. It all starts with good soil, patience, and a strong planter setup.
Champions of Rural America is a half-hour dive into the legislative priorities for Rural America. Join us as we interview members of the Congressional Western Caucus to learn about efforts in Washington to preserve agriculture and tackles the most important topics in the ag industry on Champions of Rural America!
Featuring members of Congress, federal and state officials, ag and food leaders, farmers, and roundtable panelists for debates and discussions.