EIA data shows ethanol production eases again slightly

In Washington, according to EIA data analyzed by the Renewable Fuels Association for the week ending August 28, ethanol production eased 1.0%, or 9,000 barrels per day (b/d), to 922,000 b/d-equivalent to 38.72 million gallons daily. Production remained 9.0% below the same week in 2019 as a result of the continuing effects of the COVID-19 pandemic. The four-week average ethanol production rate declined 0.2% to 924,000 b/d, equivalent to an annualized rate of 14.16 billion gallons.

Ethanol stocks grew 2.3% to 20.9 million barrels, which was 12.3% below year-ago volumes. Inventories increased across all regions except the Gulf Coast (PADD 3).

The volume of gasoline supplied to the U.S. market, a measure of implied demand, contracted by 4.1% to 8.79 million b/d (134.69 annualized). Gasoline demand remained 7.2% lower than a year ago.

Conversely, refiner/blender net inputs of ethanol ticked up 0.8% to 861,000 b/d, equivalent to 13.20 bg annualized, which was 9.6% below the year-earlier level.

The U.S. imported 36,000 b/d of ethanol, or 10.58 million gallons for the week, which is believed to have originated in Brazil. This marks the fifth time over the last six weeks that imports were reported.