PUBLISHER: Prescient & Strategic Intelligence | PRODUCT CODE: 1719377
PUBLISHER: Prescient & Strategic Intelligence | PRODUCT CODE: 1719377
The U.S. ethanol fuel market is projected to grow from USD 27.6 billion in 2024 to USD 42.1 billion by 2032, expanding at a CAGR of 5.5%. Growth is driven by the increasing adoption of biofuels to reduce greenhouse gas emissions, government mandates like the Renewable Fuel Standards Program, and the growing use of ethanol in transportation. Additionally, the rise in ethanol-based sustainable aviation fuel (SAF) and increased export opportunities are boosting the market.
Key Insights
Corn is the largest feedstock for ethanol production, accounting for 55% of market share in 2024.
Transportation fuel is the largest application segment, with E15 blends gaining popularity for their environmental benefits.
Cellulosic biomass is the fastest-growing feedstock, due to its lower carbon emissions.
Dry mill process dominates production, while the wet mill process is growing rapidly due to its ability to generate additional products.
Export potential is increasing as global demand for ethanol, especially in countries like India and Brazil, rises.
The Midwest remains the largest and fastest-growing region, driven by corn production and ethanol manufacturing infrastructure.