The fuel ethanol industry is supported by policies and has broad prospects for industry development

Fuel ethanol generally refers to anhydrous ethanol with a volume concentration of more than 99.5%. It is a renewable green energy and can be used as a clean, high-octane fuel to reduce the consumption of petroleum. It can also be used as an additive and added to gasoline in a certain proportion. , forming ethanol gasoline. Common fuel ethanol raw materials include food crops such as corn, wheat, and rice, non-food crops such as cassava, sweet sorghum, and sugar cane, as well as agricultural waste (such as straw, corn cobs), etc.

At this stage, the domestic fuel ethanol industry still uses corn and cassava as raw materials to produce fuel ethanol, and the research and development of related technologies for producing fuel ethanol using cellulose, microalgae, etc. as raw materials is still relatively backward. In Europe, Germany, Italy and other countries have mastered the production process of cellulose-based ethanol and have built multiple 50,000-ton demonstration plants. Their products are very competitive in the European market.

According to the released “2021-2025 China Fuel Ethanol Industry Market Monitoring and Future Development Prospects Research Report“, the United States, Brazil , China is the world’s major fuel ethanol production region. In recent years, the country has successively introduced policies such as the “Key Tasks of Energy Supervision in 2021” and the “Guiding Opinions on Energy Work in 2022” to promote the development of ethanol gasoline, which will increase the demand for fuel ethanol in this field and is beneficial to fuel ethanol. Industry development.

At this stage, the state implements an industry management system for the fuel ethanol industry of designated production, targeted sales, closed circulation, and government pricing. That is, each company has its own sales area and designated supply objects, and is not allowed to arbitrarily sell to other regions and downstream companies. Expansion, violators may face severe penalties. Through this system, vicious competition among fuel ethanol companies has been prevented to a certain extent, and has laid the foundation for the long-term, healthy and stable development of the domestic fuel ethanol industry.

Industry analysts said that in the domestic fuel ethanol industry, fuel ethanol is mainly used in the automotive industry. As a gasoline additive, fuel ethanol is a green, high-quality gasoline component. In my country, ethanol gasoline refers to a blend of 10% fuel ethanol and 90% ordinary gasoline (ie E10 gasoline). Since 2015, the domestic automobile industry has entered a period of rapid development, the scale of automobile ownership has continued to grow, and it has gradually become one of the important pillar industries of the national economy. Thanks to the increase in domestic car ownership and the country’s strong support for the fuel ethanol industry, the domestic fuel ethanol industry has maintained a very good growth trend. It is expected that domestic demand for fuel ethanol will increase to about 3.5 million tons in 2027, and the industry has very good development prospects.