Reuters: Trump to visit Iowa next week to announce pro-ethanol measure

Source: By Carl Surran, Reuters • Posted: Wednesday, October 3, 2018

Pres. Trump is expected to visit Iowa next week to deliver on a promise to lift a summer ban on higher ethanol blends of gasoline, Reuters reports.

Trump plans to announce he is directing the Environmental Protection Agency to lift the summer ban on E15 gasoline and may tighten restrictions on the trading of ethanol blending credits to keep prices down for merchant refiners struggling with the cost of complying with the U.S. Renewable Fuel Standard, according to the report.

The move would cap months of negotiations over ways to help the oil industry deal with the cost of complying with U.S. biofuel laws without angering farmers, as well as helping Farm Belt Republicans in tight congressional election races.

The American Petroleum Institute opposes both the E15 waiver and the proposed trade restrictions, saying the measures would hurt consumers and damage liquidity in the credit market.