Green Plains Shutting Two Iowa Ethanol Plants
Major U.S. ethanol producer Green Plains is shutting down two if its Iowa ethanol plants and cutting production at its Fairmont, Minnesota plant. Green Plains has idled its Superior, Iowa facility until further notice and plans to shut down the plant in Lakota, Iowa. Sources told Reuters News Agency that the plant in Fairmont is running at half capacity.
Industry sources say the cuts come in response to the Trump administration’s escalating trade tensions, blocking access to ethanol markets in China, pushing down biofuel prices. Last month the company said it would re-assess production levels based on current market conditions, but they haven’t released any further details.