Canada: Biofuels Annual

Canada’s Clean Fuel Regulation (CFR), Quebec's new low-carbon fuel regulation, and E15 in Ontario (in 2030) are expected to drive up ethanol demand in Canada. The CFR became law on July 6, 2022 and is designed to reduce greenhouse gas (GHG) emissions associated with transportation fuel. In 2021, Canadian imports of U.S. fuel ethanol increased eight percent, year-over-year, to 1.3 billion liters. This increase was driven by higher Canadian fuel usage and an increased share of domestic supply going to exports. In 2022, imports of U.S. fuel ethanol are forecast at a record 1.5 billion liters with further expansion of the fuel pool and an upward trend in the average nationwide blend level.