Biofuels production, consumption and trade in the U.S. are expected to remain stable through 2020, according to the country's Energy Information Administration (EIA).
The EIA said on Friday it expects that U.S. fuel ethanol production will remain around current levels, decreasing slightly to 1.04 million barrels per day (bpd) in 2019, but increasing to 1.05 million bpd in 2020.
'Fuel ethanol production is largely dependent on domestic motor gasoline consumption, which has been relatively stable in recent years, as fuel economy improvements have largely offset increases in population and vehicle miles traveled,' the EIA said in a statement.
Ethanol exports in the U.S. have accounted for an increasing share of production since 2013, and it has have contributed to market growth in the country, it added.
Net ethanol exports reached nearly 110,000 bpd in 2018, however it is estimated to fall slightly to an average of 90,000 bpd in 2019 and 2020, the EIA statement's read, adding that the slight decline will be 'driven primarily by the expectation that record levels of ethanol exports to Brazil in early 2018 will not persist.'
The U.S.' biomass-based diesel production, which excludes renewable diesel, was about 120,000 bpd in 2018, and is expected to climb to 160,000 bpd in 2020.
Total biomass-based diesel consumption in the country was around 134,000 bpd in 2018, and is forecast to increase to 174,000 bpd in 2020, the EIA said.
'Growth in domestic production will continue to be supported by antidumping and countervailing duties placed on biodiesel imports from Argentina and Indonesia that went into effect in 2017,' the statement said.
'Current import restrictions on these countries will contribute to flat biomass-based diesel net imports through 2020, with U.S. biomass-based diesel net imports about 70 percent lower than the 2016 peak,' it added.
By Ovunc Kutlu