Last week, domestic ethanol demand was 14.2 BGY, down 3.1% compared to a week ago. The EIA-reported gas demand was down 3.1% from last week, at 135.6 BGY. The 4-week average ethanol and gas demand are 14.4 BGY and 137.8 BGY (-2.2% YoY).
Ethanol production was 16.8 BGY last week, down 2.1% versus the week before, and 1.6% more than the 4-week average in 2019. Midwest production was down 2.0% (-6.2 MG) versus a week ago, and average production in the other regions was down 4.7% (-0.9 MG) mainly in the Gulf Coast. Ethanol production capacity utilization of plants online this week was 92.7% overall, 93.4% in the Midwest, and 81.5% on average, elsewhere, excluding 1,236 MGY of capacity shutdown at 24 ethanol plants for other than maintenance. On an installed capacity basis, utilization was 86.7% overall, 91.0% in the Midwest and 48.4% in the other regions.
Exports were an estimated 45.6 MG last week based on 200 MG forecast for June and 190 MG forecast for July. The EIA reported no ethanol imports last week.
Overall inventory was unchanged last week. EIA-counted stocks decreased 32.0 MG, and regional changes were: East (-8 MG), Gulf (+2 MG) and West (-9 MG) Coasts and the Midwest (-17 MG). In-transit inventory levels increased 32.0 MG.
Based on the total inventory of 1,296 MG on July 3rd and the 4-week avg. domestic demand, there were 32.9 days of supply, down 0.2 days from a week ago. Including the 4-week avg. of net exports, the days of supply were 28.2 days, down 0.1 days from a week ago.
Based on US Census data, ethanol exports in May were 200.1 MG, 1% more than May 2025, including an estimated 10.9 MG used to make ETBE for export with all to Japan (assuming 60% of ETBE exports were derived from U.S. corn ethanol). The major export destinations were Canada (76 MG), The Netherlands (32 MG), Nigeria (13 MG), Columbia, South Korea, and UK (10 MG, each), Vietnam (8 MG), Philippines (7 MG), Peru and Mexico (4 MG, each),and lesser amounts to other countries. The total to Europe (EU + UK) was 49 MG. YTD 2026, exports have totaled 1,053 MG, 10% more than YTD 2025.
Based on US Census data, 2.2 MG of fuel ethanol was imported in May, all from Canada. YTD through May, imports have totaled 10.2 MG, 38% more than YTD 2025. In May, there were no ethanol imports reported for industrial use from Brazil, likely for ETBE production and re-export to Japan, and 23.1 MG YTD, -37% versus YTD 2025.