According to the EIA, ethanol rail movements rebounded to a 15 month high level throughout Jun ’21, finishing 23.8% above previous year levels. The YOY increase in monthly ethanol rail movements was the third experienced in a row. 2020 annual ethanol rail movements declined 9.7% on a YOY basis, reaching a five year low level, however 2021 YTD ethanol rail movements have rebounded by 8.9% throughout the first half of the calendar year.

12 month rolling average ethanol rail movements have ranged from 60% – 69% of monthly ethanol production, historically. Jun ’21 ethanol rail movements accounted for 67.6% of monthly production on a 12 month rolling average basis, reaching a five month high level.

Ethanol rail movement figures are broken out by Petroleum Administration for Defense District (PADD) for both originating rail movements and destinations of shipments. The U.S. is regionally divided into five PADDs, which include the East Coast, Midwest, Gulf Coast, Rocky Mountain and West Coast.

Over 97% of the total rail movements originated in PADD 2 (Midwest) during Jun ’21. Over 9.1 million barrels of ethanol rail movements were destined to PADD 1 (East Coast) during Jun ’21, leading all regional districts.

Ethanol rail movements destined to PADD 1 (East Coast) accounted for over two fifths of the total shipments during Jun ’21. Combined shipments to PADD 1 (East Coast), PADD 5 (West Coast) and PADD 3 (Gulf Coast) accounted for 90% of total ethanol rail movements, with minimal amounts being shipped to PADD 2 (Midwest), Canada and PADD 4 (Rocky Mountain).

Ethanol rail movements destined to PADD 5 (West Coast) finished most significantly above historical average figures throughout Jun ’21 while ethanol movements destined to PADD 1 (East Coast) finished most significantly below historical average figures.