European Ethanol: New Benchmarks for a Changing Market

As Europe’s ethanol market moves toward carbon-based compliance, participants need clearer price signals and better ways to manage exposure. In this episode, John Houghton-Brown (Senior Editor and Europe & Asia Lead, Biofuels Editorial) is joined by Toby Shay (Market Reporter, European Ethanol) and Paul Wightman (Senior Director, Research and Product Development, CME Group) to discuss how the market is adapting — from changing demand and policy signals to the pricing and risk tools developing around higher-GHG crop-based ethanol.

Key themes:

• Compliance-driven demand for higher-GHG ethanol as RED III reshapes buying priorities
• Practical risk management with CME Group futures linked to the Argus higher-GHG ethanol benchmark
• E20 policy uncertainty as higher blends return to the debate, but timing and engine compatibility remain barriers
• Supply balance pressure from UK production losses, redirected US flows and potential Mercosur access