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USA: Ethanol producer says tariffs will hurt ethanol sales

An ethanol plant in northwest Iowa suspended production last week and industry officials say it won’t be the last. Ethanol plants in Iowa and across the Midwest are expected to sharply cut back on their production in the coming weeks. DeLayne  Johnson, CEO of Quad County Corn Processors in the northwest Iowa town of Galva, says the two biggest reasons for the reductions are oversupply and the trade dispute with China. “Tariffs are actually reducing our exports,” Johnson says, “and in addition, the small refinery exemptions EPA has given to Exxon, Shell, Mobil and others is certainly eating into the demand as well, to the tune of 2.8 billion gallons of ethanol and about 1-billion bushels of corn.”