The Coming Slow Fade of America’s Corn Ethanol Industry - CleanTechnica

Source: cleantechnica
Author: @cleantechnica
Published: 11/30/2025
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Read original articleThe article from CleanTechnica outlines the rise and anticipated decline of the U.S. corn ethanol industry, which expanded rapidly under policies like the Renewable Fuel Standard and subsidies such as the Volumetric Ethanol Excise Tax Credit. Corn ethanol became a major economic driver in the Midwest, supporting farmers and rural communities by creating steady demand for corn used in fuel blending. By the late 2000s, ethanol production had grown to over 16 billion gallons annually, with ethanol blended into nearly all gasoline sold nationwide at about a 10% ratio. The industry’s stability was largely maintained by mandates and a large fleet of internal combustion engine vehicles.
However, structural changes in transportation and energy are challenging this stability. Gasoline demand has plateaued and begun a slow decline due to improved vehicle efficiency, increased hybrid adoption, work-from-home trends, and the growing presence of electric vehicles (EVs), which replace entire household gasoline consumption. Attempts to increase ethanol blend levels beyond 10-15% face significant
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energyethanolbiofuelrenewable-energytransportation-fuelcorn-ethanol-industryfuel-demand