The prices of oil and these of corn feedstock were low in 2016, affecting ethanol prices. The report, prepared by Navigant Research for business group Advanced Energy Economy (AEE), says US ethanol revenue has halved from its 2012 peak level of USD 40 billion. Investments in ethanol plants plunged to zero in 2016 from USD 1.9 billion in 2014.
The sharp fall in ethanol revenue held back the US advanced energy market last year, which grew by just 1% to USD 199.2 billion. Still, this puts the overall market on par with domestic pharmaceutical manufacturing. Without ethanol, the advanced energy market would have grown by 5%.
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