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Agricultural Policy Review

Abstract

IN SEPTEMBER 2017, the Chinese government announced a new nationwide ethanol mandate (NEA 2017) that expands the mandatory use of E10 fuel (gasoline containing 10 percent ethanol) from 11 trial provinces to the entire country by 2020. This measure would require ethanol consumption in China, the largest motor vehicle market in the world, to at least quadruple within the next three years. For US producers, this recent development fuels interest in whether China is going to import ethanol and/or corn (the main feedstock for ethanol production in China) to meet the mandate.

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