The first full week of 2026 marked another record for U.S. ethanol production.
Ethanol production in the week ended Jan. 9 hit a record 1.196 million barrels, the Energy Information Administration said Wednesday. Analysts, on average, had expected production to rise to 1.105 million barrels from 1.098 million barrels the previous week, according to a Bloomberg survey.
The data likely helped corn futures as the March contract bounced 2 ¼ cents after a 26-cent drop the previous two sessions following a USDA crop production update that boosted the crop above the 17 billion bushel threshold.
Ethanol stocks rose to 24.473 million barrels, above the average estimate of 24.126 million barrels and up from 23.652 million barrels the previous week.
USDA on Tuesday estimated ethanol demand at 5.6 billion bushels of corn in the current marketing year. A record crop has served as fodder for farm and biofuel groups as they push for year-round approval of E15, a 15% ethanol blend with gasoline, and clarity on biofuel blending rules and other measures aimed at boosting demand for the crop.
USDA Secretary Brooke Rollins, speaking at the American Farm Bureau Federation convention in Anaheim, California, earlier this week said it was up to Congress to “do its job and pass nationwide year-round E15 legislation to continue to drive domestic crop demand providing a clear win-win for farmers and consumers.”
Rep. Randy Feenstra, an Iowa Republican, told the Brownfield Ag Network on Tuesday that year-round E15 legislation could be attached to a mini-omnibus appropriations bill. “That’s going to happen next week,” he said. “We’ve got one passing this week, it probably won’t jump on this week. It’s really directed on how the Senate can achieve this, we’re working from the House side. But we’re just trying to find that train that we can jump on and get it done.” Read Pro Farmer’s latest market reports.
