# Ethanol Recovers to a 'New Normal'

> The U.S. ethanol sector recovered in the third quarter to about 85-90% of pre-COVID demand, with weekly production averaging 14.2 billion gallons annualized, 89% of the first quarter's level. Operating margins for a representative Iowa plant averaged $0.21 per gallon, up from break-even in the first quarter. Recent policy steps include E15 sales moves, EPA plans to deny refinery blending exemptions, and Brazil's duty-free access for U.S. ethanol for 90 days.

- Date: 2020-10-13 · published 2020-10-13T12:00:00.000Z
- Category: policy · region US · magnitude medium
- Page: https://feedsoft.ai/events/50652-ethanol-recovers-to-a-new-normal
- Commodities: [Corn](https://feedsoft.ai/c/CORN.md), [DDGS](https://feedsoft.ai/c/DDGS.md)

## Why it matters

Stronger ethanol output supports corn grind demand and DDGS supply, which tends to firm feed-grain prices. Policy support for blending keeps the outlook steadier into the fourth quarter.

## Read by commodity

- CORN: bullish ▲
- DDGS: neutral

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| CORN | 2019-03-28 | [New record for U.S. ethanol production and exports in 2018 and an update on Iowa’s ethanol industry](https://feedsoft.ai/events/60116-new-record-for-u-s-ethanol-production-and-exports-in-2018-and-an-update-on-iowa.md) | -2.6% | -4.6% |
| CORN | 2017-06-19 | [US corn ethanol producers to tap into overseas demand - Governors' Biofuels Coalition](https://feedsoft.ai/events/70503-us-corn-ethanol-producers-to-tap-into-overseas-demand-governors-biofuels.md) | -5.4% | -1.7% |
| CORN | 2024-04-03 | [US Corn Producers Hope to Dismantle Ethanol Trade Barriers \| CZ app](https://feedsoft.ai/events/30723-us-corn-producers-hope-to-dismantle-ethanol-trade-barriers-cz-app.md) | -0.7% | -0.9% |
| CORN | 2019-11-29 | [Growth Energy to EPA - deliver a real fix - Brownfield Ag News](https://feedsoft.ai/events/55933-growth-energy-to-epa-deliver-a-real-fix-brownfield-ag-news.md) | +1.1% | +3.4% |
| CORN | 2025-10-23 | [Corn ethanol set to overtake sugarcane’s long-standing dominance](https://feedsoft.ai/events/22397-corn-ethanol-set-to-overtake-sugarcane-s-long-standing-dominance.md) | +1.8% | +3.4% |

## Sources

- mnbiofuels.org: https://www.mnbiofuels.org/ethanol-recovers-to-a-new-normal

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.