Ethanol traded flat at 1.71 USD/Gal on November 28, 2025. Over the past month, Ethanol's price has risen 0.59%, and is up 9.97% compared to the same time last year, according to trading on a contract for difference (CFD) that tracks the benchmark market for this commodity. Ethanol - values, historical data, forecasts and news - updated on December of 2025.

The world benchmark for fuel ethanol - U.S. Omaha wholesale price - stood at 50.2 U.S. dollars per barrel in 2024. This annual average was lower than in the previous two years, after rising to a high of 70.75 per barrel in 2022.

In 2024, a liter of commercial hydrous ethanol fuel in Brazil was sold at an average price of **** Brazilian reals. This represented an increase of roughly three percent in comparison to the previous year, when Brazil's average sale price of ethanol fuel reached **** Brazilian reals. Hydrous ethanol accounts for most of the ethanol production in Brazil.

Brazil BR: Consumer Fuel Price: Ethanol: Maximum data was reported at 6.490 BRL/l in Nov 2025. This records a decrease from the previous number of 7.440 BRL/l for Oct 2025. Brazil BR: Consumer Fuel Price: Ethanol: Maximum data is updated monthly, averaging 3.120 BRL/l from Jul 2001 (Median) to Nov 2025, with 292 observations. The data reached an all-time high of 7.989 BRL/l in Mar 2022 and a record low of 1.580 BRL/l in Jul 2001. Brazil BR: Consumer Fuel Price: Ethanol: Maximum data remains active status in CEIC and is reported by National Petroleum, Natural Gas and Biofuels Agency. The data is categorized under Global Database’s Brazil – Table BR.PI: Consumer Fuel Price: Brazil: Monthly. Note:The Survey of Price and Margin Fuels Marketing covers gasoline, hydrated ethanol fuel, diesel oil without additive, compressed natural gas (CNG) and liquefied petroleum gas (LPG) which have been surveyed in 555 locations, about 10% municipalities in Brazil, in accordance with procedures established by the Brazilian National Agency of Petroleum, Natural Gas and Biofuels.The results of the Survey of Price and Margin Fuels Marketing contain selling price to the final consumer and purchasing price from the wholesaler of gasoline, hydrated ethanol fuel, diesel oil without additive, CNG and LPG observed in each municipality which has participated in the survey.

According to Cognitive Market Research, the global Fuel Ethanol market size was USD 88515.5 million in 2024. It will expand at a compound annual growth rate (CAGR) of 7.00% from 2024 to 2031.

North America held the major market share for more than 40% of the global revenue with a market size of USD 35405.20 million in 2024 and will grow at a compound annual growth rate (CAGR) of 5.2% from 2024 to 2031.
Europe accounted for a market share of over 30% of the global revenue with a market size of USD 26554.65 million.
Asia Pacific held a market share of around 23% of the global revenue with a market size of USD 20358.57 million in 2024 and will grow at a compound annual growth rate (CAGR) of 9.0% from 2024 to 2031.
Latin America had a market share of more than 5% of the global revenue with a market size of USD 4425.78 million in 2024 and will grow at a compound annual growth rate (CAGR) of 6.4% from 2024 to 2031.
Middle East and Africa had a market share of around 2% of the global revenue and was estimated at a market size of USD 1770.31 million in 2024 and will grow at a compound annual growth rate (CAGR) of 6.7% from 2024 to 2031.
The Synthetic held the highest Fuel Ethanol market revenue share in 2024.

Market Dynamics of Fuel Ethanol Market

Key Drivers for Fuel Ethanol Market

Renewable Energy Goals to Increase the Demand Globally: Governments globally are championing renewable energy to cut greenhouse gas emissions and tackle climate change. Ethanol, a biofuel made from agricultural crops, supports these objectives by providing a cleaner alternative to fossil fuels. Many countries implement mandates or incentives to boost ethanol use, recognizing its role in reducing carbon footprints and enhancing energy sustainability. These policies aim to foster a shift towards greener energy sources, helping mitigate environmental impact and promote long-term ecological balance. Through such initiatives, ethanol becomes a key player in advancing global renewable energy goals.

Energy Security to Propel Market Growth: Reducing reliance on fossil fuels strengthens energy security by diversifying fuel sources and minimizing dependence on imported oil. Ethanol production plays a crucial role in this strategy by providing a renewable, domestically sourced alternative. By integrating ethanol into the energy mix, countries can decrease their vulnerability to volatile oil markets and geopolitical uncertainties. This shift not only promotes stability in energy supply but also supports local economies through agricultural and industrial investments. Enhanced energy security through ethanol contributes to a more resilient and self-sufficient energy infrastructure, ensuring a stable and sustainable energy future.

Key Restraint Factor for the Fuel Ethanol Market

Food vs. Fuel Debate to Limit the Sales: The food versus fuel debate centers on concerns that dedicating agricultural land to ethanol production may impact food security and drive up food prices. As land and crops are diverted from food production to biofuel use, it raises fears of reduced food supply and higher costs for consumers. This tension can constrain the growth of ethanol production, as policymakers balance the benefits of renewable energy against potential negative effects on food availability. Addressing these concerns requires innovative solutions to optimize land use and enhance crop yields, ensuring that both energy and food needs are met sustainably.

Key Trends for Fuel Ethanol Market

Transition to Second-Generation (Cellulosic) Ethanol: Recent advancements are facilitating the production of ethanol from non-food biomass, such as agricultural waste. These developments mitigate the food-versus-fuel dilemma and promote enhanced sustainability. Second-generation ethanol is attracting interest due to its long-term ecological advantages.

Strategic Alliances and Expansion of Global Trade: Nations are progressively establishing trade agreements for the import and export of ethanol. Brazil and the United States are prominent exporters, while the Asia-Pacific region and Europe serve as significant consumers. These international supply chains improve availability and contribute to price stability.

Impact of Covid-19 on the Fuel Ethanol Market

The COVID-19 pandemic significantly impacted the fuel ethanol market, causing a sharp decline in demand due to reduced transportation activity and economic slowdowns. ...

The north and north-east regions of Brazil had the highest average sale price of ethanol fuel in 2024, with figures amounting to **** and **** Brazilian reals per liter, respectively. Meanwhile, the central-west region had the lowest price, standing below the national average, at **** Brazilian reals per liter. Brazil's ethanol fuel production has surpassed ** million cubic meters in recent years.

Brazil BR: Wholesale Fuel Price: Ethanol: Average data was reported at 2.398 BRL/l in Aug 2020. This records an increase from the previous number of 2.365 BRL/l for Jul 2020. Brazil BR: Wholesale Fuel Price: Ethanol: Average data is updated monthly, averaging 1.603 BRL/l from Jul 2001 (Median) to Aug 2020, with 230 observations. The data reached an all-time high of 2.931 BRL/l in Feb 2020 and a record low of 0.689 BRL/l in Aug 2002. Brazil BR: Wholesale Fuel Price: Ethanol: Average data remains active status in CEIC and is reported by National Petroleum, Natural Gas and Biofuels Agency. The data is categorized under Global Database’s Brazil – Table BR.PF009: Distributor Fuel Price: Brazil: Monthly (Discontinued). Note:The Survey of Price and Margin Fuels Marketing covers gasoline, hydrated ethanol fuel, diesel oil without additive, compressed natural gas (CNG) and liquefied petroleum gas (LPG) which have been surveyed in 555 locations, about 10% municipalities in Brazil, in accordance with procedures established by the Brazilian National Agency of Petroleum, Natural Gas and Biofuels.The results of the Survey of Price and Margin Fuels Marketing contain selling price to the final consumer and purchasing price from the wholesaler of gasoline, hydrated ethanol fuel, diesel oil without additive, CNG and LPG observed in each municipality which has participated in the survey.

This paper analyzes the relationship between gasoline and ethanol markets. Previous researches emphasize on substitution effect between gasoline and ethanol. However, in Brazil gasoline and ethanol are substitutes and complementary goods. We investigate the substitution and complementarity effects between fuels by using Structural Vector Autoregressions Vector (SVAR). As a result, in the short run gasoline price shock effect in ethanol demand is greater than ethanol price shock. In the long run, however, consumers make the consumption of ethanol grow. Furthermore, the introduction of flex fuel technology in Brazil did not produce any impact on ethanol price and demand. The crisis has affected positively the biofuel price nevertheless. As an implication, due to gasoline price shock the sucroalcohol sector must guarantee the ethanol domestic supply in the long run.

In 2024, the price for ethanol fuel sales in Colombia averaged ***** thousand Colombian pesos per gallon, the highest price reported during the period in consideration. That year, figures more than doubled the record low average price recorded in 2019, at some **** thousand Colombian pesos per gallon. In most Colombian departments, ethanol fuel is to be added to commercialized gasoline at a minimum mandated blend of six percent.

In March 2025, the price for corn-based ethanol sales in Argentina reached nearly *** thousand Argentine pesos per liter. This represented a nearly four-fold increase in comparison to a year earlier. That same month, the price for ethanol from sugarcane stood at ***** pesos per liter. These prices refer to sales for the mandated ethanol blend in gasoline the country.

Fuel Ethanol Market size was valued to be USD 95.48 Billion in the year 2023 and it is expected to reach USD 148.66 Billion in 2031, at a CAGR of 5.69% over the forecast period of 2024 to 2031.

Fuel ethanol is a renewable, domestically produced biofuel made from plant materials like corn, sugarcane, or cellulosic biomass that can be mixed with gasoline or used as an alternative fuel source. It is used as a gasoline additive to increase octane and improve vehicle emissions as it burns cleaner and cooler than pure gasoline, reducing air pollution and greenhouse gas emissions. The production of fuel ethanol involves the fermentation of sugars derived from plant materials, a process similar to brewing beer, followed by distillation to increase the alcohol concentration. Fuel ethanol has been promoted as a way to reduce dependence on imported oil, support domestic agriculture, and contribute to environmental sustainability by utilizing renewable resources and reducing harmful emissions from the transportation sector.

Government Policies and Mandates: The growth of the fuel ethanol market is being driven by government policies and mandates aimed at promoting the use of renewable fuels and reducing greenhouse gas emissions from the transportation sector. These policies, such as the Renewable Fuel Standard (RFS) in the United States and the Renewable Energy Directive (RED) in the European Union, mandate the blending of biofuels like ethanol with gasoline, creating a consistent demand for fuel ethanol. Concerns over Energy Security: The need to reduce dependence on imported oil is fueling the demand for domestically produced fuel ethanol as an alternative to gasoline derived from crude oil. Fuel ethanol is perceived as a means to enhance energy security by diversifying the transportation fuel mix and relying more on locally produced biofuels. Economic Benefits for Rural Communities: The production of fuel ethanol is creating economic opportunities in rural areas where feedstocks, such as corn and sugarcane, are grown and processed. This economic impact, including job creation and income generation, is driving support for the fuel ethanol industry from agricultural communities and policymakers. Technological Advancements: Continuous advancements in the production processes, feedstock utilization, and conversion technologies are improving the efficiency and cost-effectiveness of fuel ethanol production. These technological advancements, including the development of advanced biofuels from cellulosic biomass, are contributing to the growth of the fuel ethanol market. Environmental Considerations: Fuel ethanol is being promoted as a cleaner-burning alternative to gasoline, as it produces lower greenhouse gas emissions and reduces air pollution from the transportation sector. The perceived environmental benefits of fuel ethanol are driving its adoption as part of efforts to mitigate the impacts of climate change and improve air quality.

US ethanol production aligns closely with federal renewable fuel blending mandates and shifting energy security priorities. The progression of the Renewable Fuel Standard (RFS) and persistent state-level support, particularly in leading corn-producing regions, establishes a baseline demand. The expanded adoption of E15 in key transportation hubs reflects regulatory efforts to increase ethanol's share of the domestic fuel market. Petroleum price volatility and persistent geopolitical concerns over energy have reinforced the strategic role of ethanol in fuel diversification. Technological upgrades in biorefining, which enable yield gains and improved feedstock flexibility, are driving operational recalibration across the industry, establishing a markedly different competitive environment than that of the previous decade. Over the past five years, the US ethanol industry has accelerated capital investment in supply chain digitization, logistics network optimization and the development of enhanced fermentation technologies. Labor cost reductions and streamlining of corn procurement practices have bolstered profit, even as input costs for corn and natural gas presented recurring volatility. US-China trade tensions resulted in sporadic export disruptions, pressuring profitability and incentivizing portfolio diversification toward higher-value by-products such as dried distillers' grains and industrial-grade ethanol. Mergers and selective facility mothballing responded directly to oversupply and margin compression, while domestic market expansion, driven by E15 waiver litigation outcomes, has cushioned broader demand cyclicality. Industry revenue has been surging at a CAGR of 5.5% over the past five years and is expected to total $26.5 billion in 2025, when revenue will fall by an estimated 2.0%. The next five years will be defined by stricter emissions regulations, the potential revision or extension of the RFS and looming state mandates for lower-carbon fuels. Ongoing trade negotiations targeting tariff reductions for ethanol exports, particularly to Brazil and Asian markets, promise both risk and reward for US producers. Smart plant controls, integrated SCADA systems and advanced cellulosic conversion techniques are expected to yield significant improvements in yield and cost efficiency, facilitating a shift in portfolio realignment away from legacy plant models. Incumbents must prioritize modernization and vertical integration, while new entrants will find their most viable opportunities in carbon capture co-location strategies and niche applications such as sustainable aviation fuel, where compliance with emerging ASTM standards represents a growing competitive differentiator. Industry revenue is expected to inch upward at a CAGR of 0.1% to $26.6 billion over the five years to 2030.

China Transaction Price: Fuel Ethanol: Beijing data was reported at 6,500.000 RMB/Ton in Aug 2015. This stayed constant from the previous number of 6,500.000 RMB/Ton for Jul 2015. China Transaction Price: Fuel Ethanol: Beijing data is updated monthly, averaging 4,650.000 RMB/Ton from Jan 2003 (Median) to Aug 2015, with 127 observations. The data reached an all-time high of 7,600.000 RMB/Ton in Aug 2006 and a record low of 4,200.000 RMB/Ton in Apr 2003. China Transaction Price: Fuel Ethanol: Beijing data remains active status in CEIC and is reported by Price Monitoring Center, NDRC. The data is categorized under China Premium Database’s Price – Table CN.PH: Ethanol Price: 36 City.

Discover the booming biofuel ethanol market! This in-depth analysis reveals key trends, growth drivers, and market segmentation (maize, sugarcane, etc.) Learn about leading companies, regional insights (North America, Europe, Asia), and future projections to 2033. Invest wisely in this dynamic sector.

China Transaction Price: Fuel Ethanol: Shenzhen data was reported at 6,027.000 RMB/Ton in Nov 2019. This records a decrease from the previous number of 6,035.000 RMB/Ton for Oct 2019. China Transaction Price: Fuel Ethanol: Shenzhen data is updated monthly, averaging 6,517.500 RMB/Ton from May 2005 (Median) to Nov 2019, with 174 observations. The data reached an all-time high of 7,500.000 RMB/Ton in Nov 2011 and a record low of 4,900.000 RMB/Ton in Sep 2006. China Transaction Price: Fuel Ethanol: Shenzhen data remains active status in CEIC and is reported by Price Monitoring Center, NDRC. The data is categorized under China Premium Database’s Price – Table CN.PH: Ethanol Price: 36 City.

Explore the factors influencing wholesale ethanol prices, including agricultural feedstock costs, government policies, and energy market dynamics. Understand how corn prices, renewable fuel standards, and crude oil competition impact ethanol as a biofuel additive for gasoline to reduce carbon emissions.

China Transaction Price: Fuel Ethanol: Chongqing data was reported at 4,832.000 RMB/Ton in Nov 2019. This records an increase from the previous number of 4,830.000 RMB/Ton for Oct 2019. China Transaction Price: Fuel Ethanol: Chongqing data is updated monthly, averaging 5,383.330 RMB/Ton from Jan 2003 (Median) to Nov 2019, with 174 observations. The data reached an all-time high of 7,280.000 RMB/Ton in Nov 2012 and a record low of 2,000.000 RMB/Ton in Jan 2003. China Transaction Price: Fuel Ethanol: Chongqing data remains active status in CEIC and is reported by Price Monitoring Center, NDRC. The data is categorized under China Premium Database’s Price – Table CN.PH: Ethanol Price: 36 City.

Explore the significant impact of USDA reports on ethanol pricing, a key component of the renewable fuel sector, and its influence on the agricultural economy and gasoline costs.

The retail price for E85 fuel in the United States stood at **** U.S. dollars per gasoline gallon equivalent on April 1, 2025. E85 fuel tends to sell for around **** to **** U.S. dollars more than regular gasoline, although the discrepancy was greater in 2022. The lowest fuel prices were recorded in April 2020 - at the height of the pandemic-induced oil crisis, when the E85 fuel price was **** U.S. dollars per gasoline gallon equivalent. E85 fuel is an ** percent ethanol fuel blended with gasoline. Biofuel share in transportation duel demand to increase The consumption of fuel ethanol in the United States has seen notable growth, reaching approximately **** billion gallons in 2024. This increase aligns with the expanding role of biofuels in the transportation sector, which accounted for about ***** percent of fuel demand in 2023. Projections suggest this share will rise to ***** percent by 2030, even as overall fuel demand is expected to decrease. Economic impact of the ethanol industry Beyond its role in fuel markets, the ethanol industry has become a significant contributor to the U.S. economy. In 2024, it generated around ****** direct jobs and ******* indirect or induced jobs. The industry's economic footprint extended to a ** billion U.S. dollar contribution to the country's GDP and **** billion U.S. dollars in household income. This economic impact, coupled with the ongoing trade in biofuels, including exports of over *** million barrels of biodiesel in 2024, demonstrates the multifaceted significance of the biofuel sector in the United States.

The global corn-based ethanol market is experiencing robust growth, driven by increasing demand for renewable fuels and government policies promoting biofuel adoption. The market size in 2025 is estimated at $50 billion, exhibiting a Compound Annual Growth Rate (CAGR) of 6% from 2025 to 2033. This growth is fueled by several factors. The escalating concerns about climate change and the need to reduce greenhouse gas emissions are pushing governments worldwide to mandate higher blends of ethanol in gasoline. Furthermore, advancements in ethanol production technologies, such as improved dry milling processes, are enhancing efficiency and reducing production costs. The automotive sector, particularly passenger cars and light commercial vehicles, constitutes a significant portion of the demand. However, the market faces challenges such as fluctuating corn prices, land use concerns related to corn cultivation, and competition from other biofuels. Regional variations exist, with North America currently dominating the market due to established production infrastructure and supportive policies. However, Asia Pacific is projected to witness significant growth in the coming years, driven by rising vehicle ownership and government initiatives to promote biofuel usage in countries like China and India. The market segmentation by type – wet milling versus dry milling – reflects technological advancements, with dry milling processes gaining traction for their higher efficiency. Major players like ADM, Poet, and Valero are actively shaping market dynamics through technological innovation, strategic partnerships, and expansions. The forecast for the corn-based ethanol market through 2033 suggests continued expansion, with the CAGR of 6% indicating a substantial increase in market value. This growth will be influenced by several interconnected factors. Government regulations promoting renewable fuels will continue to be a key driver, along with technological improvements that enhance the cost-effectiveness and sustainability of corn-based ethanol production. The ongoing focus on reducing carbon emissions and improving energy independence will further stimulate market growth. However, careful consideration must be given to the challenges posed by fluctuating commodity prices and the environmental sustainability of large-scale corn production. Market diversification through partnerships and expansions into new regions will be crucial for players aiming to secure their market share in the long term. Continued innovation in ethanol production technology is expected to further drive cost reductions and broaden the market's appeal.