US fuel ethanol exporters are on track to export a record amount of the fuel in 2024, according to the US Energy Information Administration (EIA). The increase in exports this year has largely been driven by demand in countries with biofuel blending mandates and cheaper-than-usual US fuel ethanol prices.

In the first eight months of 2024, US fuel ethanol exports averaged 121,000 barrels per day (b/d)—the most fuel ethanol exports in the first eight months of any year.

Exports have been consistently high in 2024, exceeding 100,000 b/d in each of the first eight months of this year. In comparison, US fuel ethanol exports exceeded 100,000 b/d in fewer than one-quarter of the months between 2019 and 2023.

In each of the past five years (2019–23), US fuel ethanol exports averaged between 80,000 b/d and 100,000 b/d. Annual fuel ethanol exports have only ever exceeded 100,000 b/d in 2018, when they averaged 112,000 b/d for the year because of high exports to Brazil. Since 2018, US fuel ethanol exports to Brazil have decreased significantly because of Brazil’s tariffs on ethanol imports and its increasing domestic production.

Increased fuel ethanol exports to Canada, Colombia, India, and the United Kingdom account for more than 60% of the growth from 2023 to 2024. Fuel ethanol exports have also increased by small amounts to several other countries. In the first eight months of 2024, exports are on track to exceed 2023 volumes to 30 countries and have already exceeded full-year 2023 volumes to 21 countries.

Although India’s EBP program prohibits the use of imported ethanol to meet blend targets, India uses imported ethanol for industrial purposes, freeing up domestic product for its transportation blend targets. With reduced production of sugarcane and rice recently, India has relied more on imports of US fuel ethanol to meet industrial sector demand and free up domestic ethanol production for EBP targets.

The second-largest increase in fuel ethanol exports has been to the United Kingdom, which became the second most popular destination for US fuel ethanol exports beginning in 2023. Fuel ethanol consumption has been increasing in the United Kingdom since the UK government passed an E10 standard in September 2021. In addition, fuel ethanol helps meet the increasing renewable fuel targets in the United Kingdom’s Renewable Transport Fuel Obligation program.

The United States has also been sending more fuel ethanol to Canada. Canada is already the United States’ top destination for fuel ethanol exports and could rely more on US fuel ethanol exports as regional blend mandates and programs grow.

Colombia remains the fourth-largest destination for US. fuel ethanol exports, and this year’s increase is mostly attributable to the reintroduction of an E10 mandate and reduced domestic ethanol production. Exports to Brazil, the Philippines, and Singapore have also increased substantially, although these countries are smaller export destinations.