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Japan ethanol goals could boost demand

The U.S. Grains Council (USGC) commended Japan’s plans to increase ethanol blending to 10% by 2030 and 20% by 2040, highlighting its potential to reduce emissions. USGC President Ryan LeGrand expressed readiness to support Japan’s energy goals. With Japan’s low domestic ethanol production, imports, especially from the U.S., will rise significantly, requiring infrastructure upgrades for higher blends like E10 and E20.

he U.S. Grains Council lauded Japan’s recent announced plans to blend gasoline with 10% ethanol by 2030 and 20% ethanol by 2040.

“The U.S. Grains Council and its members and partners are delighted at the news of Japan’s steps towards E10 and E20 and applaud its recognition of ethanol’s ability to reduce harmful emissions in our atmosphere,” Ryan LeGrand, USGC president and CEO, said in a news release.

“The council is ready and willing to support Japan and its transportation sector in any capacity to help the country meet its energy ambitions.”

The USGC is a long-time supporter of biofuel growth in Japan, including recent steps like witnessing the opening of the first E7 fuel pump in Japan and LeGrand’s participating in a USGC and USDA conference on sustainable aviation fuel there.

Japan’s Ministry of Economy, Trade and Industry noted that because of Japan’s low domestic production of ethanol, imports will drastically increase from countries including the United States. Plus, infrastructure improvements will be required as most of Japan’s fuel stations are only equipped for E3 blends.

The government previously set a target of requiring vehicles to be fully or partially run by electricity by 2035. However, delays to that effort and Japan’s focused attempts to cut carbon emissions created the need for higher ethanol blending rates.

“Through promotional activities like the USDA/USGC joint conference in October, the council will continue ensuring the introduction of higher bioethanol blends in Japan and work to make U.S. corn ethanol a major component in supporting Japanese ethanol blending policies,” said Tommy Hamamoto, USGC director in Japan.

In late April, the USGC led a group of Japanese journalists on a tour of several U.S. ethanol plants. The group toured Marquis Energy in Hennepin, Illinois, the largest dry-mill ethanol facility in the world.

Another USGC delegation met in late October with Nigerian oil industry officials on bioethanol benefits during the 18th Oil Trading and Logistics Africa Downstream Energy Week in Lagos, Nigeria.

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Source Link : Farmers Today

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