Corn and soybean futures spiked sharply higher on Tuesday based on rumors that President Trump was going to issue an executive order that would incrase the demand for ethanol and biofuel products. This had been reported by several media organizations. Late Tuesday afternoon, however, a leading industry organization said the rumors were false. Growth Energy thanks the White House for putting a stop to the circulating rumors that an alleged “deal” had been made to change the Renewable Fuel Standard (RFS) point of obligation. Tuesday afternoon the White House confirmed to several media outlets that no executive order is imminent.
“We look forward to a constructive, ongoing dialogue with this administration and lawmakers on Capitol Hill about policies that will continue to uphold what has been the nation’s most successful energy policy, reducing oil imports and cutting transportation-related emissions,” Growth Energy CEO Emily Skor said. “Under the RFS, the point of obligation – which obligates oil refiners to blend renewable fuel into our transportation fuel supply – is working as intended and is making sure that consumers have a choice of fuel at the gas pump. President Trump has voiced a strong commitment to the RFS and continued progress for homegrown fuels, and we are heartened by the White House’s quick efforts to silence these rumors. We look forward to a constructive dialogue with the administration on biofuel policy.”