Japan Biofuel Policy Boost for US Growers

            Japan's announcement of a new biofuels policy has paved the way for the United States to potentially capture the entirety of Japan's on-road ethanol market according to the USTR.   

The policy, developed through collaboration between the U.S. Department of Agriculture, the Office of the United States Trade Representative, and the U.S. Embassy Tokyo, is expected to boost U.S. ethanol exports by up to 80 million gallons annually. This increase in trade could potentially result in an additional $150-200 million in exports each year.

According to Ambassador Katherine Tai, the new biofuels policy is the latest sign of a strengthened partnership between the United States and Japan, and a result of close collaboration between the two nations.

In addition to the economic benefits of increased trade, the new policy is also expected to promote a cleaner and more sustainable energy future. Agriculture Secretary Vilsack applauded Japan's commitment to this goal, noting that the policy will expand U.S. biofuel producers' access to the Japanese market while helping to promote a more sustainable future.

The new biofuels policy is just the latest in a series of recent agreements between the United States and Japan. Last week, the two countries reached an agreement on critical minerals, and the U.S. Ambassador to Japan, Rahm Emanuel, has hailed both deals as important steps towards building a better future. The United States will continue to work with Japan to further align their biofuels policies and increase demand for on-road ethanol.