The Renewable Fuels Association (RFA) is cautiously optimistic that China’s ethanol goals will positively impact producers in the U.S. The Chinese National Development and Reform Commission and energy administration recently announced a plan to extend the use of biofuels throughout the country by 2020. RFA president Bob Dinneen calls the move a step in the right direction, but says some important questions need to be answered.
He projects Chinese ethanol demand could exceed four billion gallons. Dinneen says China – the world’s third largest ethanol producer behind the U.S. and Brazil – can’t achieve that objective alone.
Iowa is the top ethanol producing state in the U.S. Dinneen points out having former Iowa Governor Terry Branstad as Ambassador to China should prove beneficial, given his longtime support of renewable fuels.
