Thursday, February 26, 2026

Recent developments in Asia's ethanol targets

February 26, 2026

As they try to reduce their dependence on imported fuels and meet carbon emission targets, more countries in Asia Pacific are blending ethanol with gasoline. Indonesia, Asia's biggest gasoline importer plans to impose an mandatory bioethanol content level of 10% in?gasoline by 2028, according to energy ministry official,?Tri?Winarno.

Check out the latest news on the use of blended fuels containing ethanol in the region.

INDONESIA

Indonesia has delayed its goal to mandate a 10% ethanol blend for gasoline (E10) from 2027 to 2028, citing supply constraints.

Data from the energy ministry showed that by 2028, the country will?produce 0.8 million kilolitres bioethanol, while national gasoline demand is 39.9?million? kilolitres.

INDIA India increased the ethanol blend in gasoline from 12% to 20% in 2018. This was a strategy designed to reduce its dependence on crude imports and stabilize its sugar sector's overproduction.

THAILAND Thailand has extended the subsidies on biofuels for two years, until September 24, 2026. The aim is to encourage the use of E20 blends and other biofuel blends.

To encourage the use of biodiesel and ethanol, the country's oil fund is used to subsidise prices.

The policy will move towards standardizing E20 fuels and retiring older grades of fuels.

VIETNAM Vietnam is set to switch from gasoline blended with ethanol in 2026, confirmed the Ministry of Industry and Trade on February 11. This confirms a plan announced last year.

From June 1, 2026, all gasoline sold in the United States must be blended with 10% ethanol.

According to the ministry, E5 RON92, which is 5% ethanol blended gasoline, will be allowed for gasoline powered engines until the year 2030.

According to the Ministry, although it is not mandatory for biodiesels B5 and 10 to be used, production and distribution are encouraged.

PHILIPPINES

The Philippines' Biofuels Act?2006 mandates the 10% ethanol blend in gasoline. E10 has been implemented across the country since 2012. In 2024, the Department of Energy allowed oil companies the opportunity to sell E20 gasoline as a voluntary blend, but did not establish a 'binding timeline' for the mandatory 20% blend. This was due to the lack of domestic ethanol and the compatibility of vehicles. Reporting by Ruth Chai, Mohi Nrayan, Chayut Settebornsang, Khanh Vu, and Karen Lema, in Singapore; editing by Florence Tan, Alexandra Hudson

(source: Reuters)

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