# Trade tensions, oversupply, and SREs drive biofuel plant shutdowns | 2019-08-22  | Agri-Pulse Communications, Inc.

> Some 17 of more than 200 U.S. ethanol plants have idled or closed in the past year, according to the Renewable Fuels Association. POET is cutting production at half its biorefineries, which will reduce its corn use by about 100 million bushels. Industry officials cite trade tensions, oversupply and small-refinery exemptions.

- Date: 2019-08-22 · published 2019-08-22T12:00:00.000Z
- Category: policy · region US · magnitude medium
- Page: https://feedsoft.ai/events/57584-trade-tensions-oversupply-and-sres-drive-biofuel-plant-shutdowns-2019-08-22
- Commodities: [Corn](https://feedsoft.ai/c/CORN.md), [DDGS](https://feedsoft.ai/c/DDGS.md)

## Why it matters

Widespread ethanol plant idling cuts corn demand by a meaningful amount and reduces coproduct supply, weighing on corn prices.

## Read by commodity

- CORN: bearish ▼
- DDGS: neutral

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| CORN | 2019-09-17 | [Trade tensions, oversupply, and SREs drive biofuel plant shutdowns - ProAg](https://feedsoft.ai/events/57067-trade-tensions-oversupply-and-sres-drive-biofuel-plant-shutdowns-proag.md) | +1.7% | +4.7% |
| CORN | 2019-01-28 | [Farm subsidies to leap on $9.8 billion in trade aid \| 2019-01-28 \| Agri-Pulse \| Agri-Pulse Communications, Inc.](https://feedsoft.ai/events/61080-farm-subsidies-to-leap-on-9-8-billion-in-trade-aid-2019-01-28-agri-pulse-agri.md) | +0.7% | +0.8% |
| CORN | 2018-04-25 | [RFS waivers wiped out billion gallons in biofuel demand, Perdue says \| 2018-04-25 \| Agri-Pulse \| Agri-Pulse Communications, Inc.](https://feedsoft.ai/events/65397-rfs-waivers-wiped-out-billion-gallons-in-biofuel-demand-perdue-says-2018-04-25.md) | +2.4% | +5.0% |
| CORN | 2021-09-22 | [Biofuel blending targets could include big volume cuts  \| Agri-Pulse Communications, Inc.](https://feedsoft.ai/events/44935-biofuel-blending-targets-could-include-big-volume-cuts-agri-pulse.md) | +1.6% | +2.0% |
| CORN | 2024-01-10 | [Trump tariff plans worry ag groups, threaten trade war redux \| Agri-Pulse Communications, Inc.](https://feedsoft.ai/events/14783-trump-tariff-plans-worry-ag-groups-threaten-trade-war-redux-agri-pulse.md) | -1.1% | -5.0% |

## Sources

- agri-pulse.com: https://www.agri-pulse.com/articles/12532-trade-tensions-oversupply-and-sres-drive-biofuel-plant-shutdowns

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