A recent U.S. Grains Council study found a significant portion of U.S. produced corn ethanol will likely meet Japan’s 50 percent greenhouse gas reduction threshold over gasoline. This supports the case for ethanol’s competitiveness and sustainability compared to other fuel sources. Nebraska Ethanol Board administrator Todd Sneller says that should help open the door for U.S. ethanol in the Japanese market.
He says the U.S. can supply ETBE or ethyl tertiary butyl ether for the Japanese market. Japan uses ETBE as it’s a very clean burning fuel that fits into their rigorous international sustainability requirements and goal of reducing greenhouse gas emissions.
Sneller says other countries are already aware of the sustainability of ethanol and as a result exports have been on the rise. He says these exports markets are important to U.S. ethanol production.
Japan has put into place a requirement that all biofuels must reduce greenhouse gas by 50 percent and Japanese regulators will decide whether or not to include U.S. corn ethanol in their biofuels policy in the spring of 2017 for implementation in 2018.
