Brazil’s ethanol industry is looking to grab a chunk of China’s ethanol market as the Asian nation targets a 10% blend in gasoline to improve air quality, but a short-term jump in exports is unlikely, according to people following the matter.
Reuters reports China wants to add 10% of ethanol to all gasoline used in the country by 2020.
A source at COFCO, however, told Reuters it was unlikely China would implement the blend nationally next year.
China has a 25% additional tariff on imports of U.S. ethanol this year as part of the trade war.
