U.S. Ethanol Production Reaches Record Levels During 2025

Record ethanol demand continues supporting corn markets and rural economies.

20160602_100408.jpg

These photos are from an ARPA-E event hosted by Danforth, the Department of Energy, and the University of Arizona. At the time, this was the world’s largest robot conducting research on sorghum as an enhanced biofuel crop. (2025)

Tony St. James

NASHVILLE, Tenn. (RFD NEWS) — U.S. ethanol production climbed to a new all-time high in 2025, reinforcing corn demand and domestic fuel blending as both exports and consumption expanded, according to new data released by the Energy Information Administration.

National ethanol output reached 16.49 billion gallons during 2025, driven by stronger domestic fuel use and record export shipments. Renewable Fuels Association President and CEO Geoff Cooper said the data reflect growing demand for American-produced ethanol among both U.S. fuel suppliers and international buyers.

Domestic ethanol usage rose to 14.34 billion gallons, nearly 100 million gallons higher than 2024 levels. The national ethanol blend rate increased to a record 10.51 percent, moving beyond the long-discussed 10-percent blend threshold as E15 adoption expanded despite seasonal sales restrictions in some regions.

International demand also strengthened. Ethanol exports exceeded 2.18 billion gallons, a 13 percent increase from the prior record year. Imports remained minimal, meaning nearly all ethanol consumed domestically was produced within the United States, supporting energy independence and rural processing economies.

Looking ahead, industry leaders continue to push for nationwide year-round E15 sales, arguing that policy changes could further expand ethanol demand and provide additional support for farm income and corn utilization.

Related Stories
Higher ocean freight raises export costs just as global grain competition intensifies.
Farm CPA Paul Neiffer has developed a detailed calculator to help producers navigate the program’s requirements. He joined us on Thursday’s Market Day Report to explain how it works.
Buying a real Christmas tree directly supports U.S. farmers facing rising import competition, long production cycles, and weather-driven risks.
Strong plant output and rising exports contrast with softer domestic blending demand, suggesting margins are poised for volatility.
Milk output is rising, but steep drops in Class I–IV prices are tightening margins heading into 2026.
Tight cattle supplies continue to drive lower beef output despite heavier weights.

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:

With the latest detection just across the border, animal health officials on both sides are intensifying efforts to contain the outbreak before it spreads further north.
The USDA NASS report also confirms lower August placements.
Producers and processors should watch trade policy closely as tariff impacts ripple through seafood markets.
While symbolic, the WTO’s youth hackathon reflects growing calls for creative approaches to food trade and security, with potential implications for reducing losses, expanding biofuel markets, and stabilizing grain flows.
Ethanol producers face a widening opportunity window as aviation and marine fuel markets expand, with the potential to add billions in demand if policy and certification align.
All eyes will be on today’s Cattle on Feed Report, which analysts say could give a clearer picture of where the market goes next.