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ETBE made with US ethanol arrives in Japan

The first shipment of ETBE made with US corn-based ethanol arrived in Japan last week.

Ryan LeGrand, the president and CEO of the U.S. Grains Council, says the arrival of ethyl tert-butyl ether (ETBE) made with US ethanol is a milestone in market development efforts.

“Historically only Brazilian ethanol was only allowed to be combined into that oxygenate (for fuel blending), and the U.S. convinced the Japanese government to allow U.S. ethanol,” he says. “So just a few weeks ago the first vessel of ETBE with US ethanol arrived in the ports of Japan and we’re very excited about that.”

The sale of ETBE was made after a policy change by the Japanese government recognizing the positive greenhouse gas benefits. Japan will allow US corn-based ethanol to meet more than 40 percent of the estimated demand of ETBE.

The first ETBE shipment from the U.S. was purchased by Japan Biofuels Supply LLP. The shipment of 13.5 million gallons represents 2 million bushels of corn demand.