The global ethanol market Growth Accelerated by Renewable Fuel Standard Policy
Ethanol is a biofuel primarily produced by fermentation of sugars in corn starch and is widely used as a gasoline additive to increase octane and improve vehicle emissions by reducing gasoline's life-cycle carbon intensity. Ethanol production supports rural economies and provides an alternative fuel stock option for the transportation sector. The global ethanol market is estimated to be valued at US$ 114.02 Bn in 2024 and is expected to exhibit a CAGR of 3.9% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights. Market key trends: The Renewable Fuel Standard (RFS) policy has accelerated the growth of the ethanol market over the past decade through implementation of volume requirements. The RFS policy mandated use of renewable fuels like ethanol in the transportation sector and set annual volume targets increasing over time. Additionally, it assigns individual responsibility to petroleum refiners and importers to m...