Agro-Petro alliance targets aviation fuel market

Feb 14, 2024


The growing popularity of electric vehicles (EVs) presents a challenge to both the agriculture and oil industries, traditionally seen as competitors. Recent developments show these sectors uniting to confront a common challenge: the rise of EVs.  

Their focus is shifting towards the aviation industry, a sector still reliant on fossil fuels, where they see potential for growth through sustainable aviation fuel. 

Historically, the National Corn Growers Association and the American Petroleum Institute have clashed over the fuel market. The threat posed by EVs to their traditional businesses has led to an unexpected alliance.  

Together, they're pushing for legislation to ease restrictions on biofuel blends and combat policies favoring electric vehicles, which they argue could harm their ability to reduce emissions.  

Despite the pushback against EVs, the reality of their growing market share cannot be ignored. With EV sales increasing, albeit at a slowing pace, and giants like Tesla showing vulnerability, the biofuel and petroleum industries see an opportunity to reposition their focus.  

The aviation industry, consuming a comparable amount of oil to the US car fleet, emerges as a promising arena for this agro-petro collaboration. Recent advancements, such as the opening of the US's first plant for producing sustainable aviation fuel from ethanol, signal a strategic shift.  

This new direction not only offers a potential path to reducing aviation emissions but also provides a practical solution to the lobbying dilemma faced by these industries.  

By concentrating on sustainable aviation fuel, the corn and oil lobbies aim to secure a future in an essential transport sector, adapting to the inevitable changes in the landscape of personal transportation.   

This strategic shift reflects a broader understanding that the battle for passenger cars may be over, but opportunities in aviation fuel innovation are just taking off. 

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