On February 3, data released by the French bioethanol producers' association (ASSOCIATION DE RECHERCHE ET DÉVELOPPEMENT DE L'AGROCOMBUSTIBLE) showed that driven by increased registrations of gasoline and hybrid vehicles, France's automotive ethanol consumption in 2025 grew by 15% year-on-year, significantly outpacing the 5.6% growth in gasoline consumption, reaching a total of 1.9 billion liters. This growth momentum is expected to continue. In terms of supply sources, 60% of the automotive ethanol consumed in France in 2025 was domestically produced, primarily from raw materials such as sugar beets, wheat, corn, and crop residues. The majority of the remainder relied on imports from other regions within the European Union, aligning with the current import-supplemented structure of the EU fuel ethanol market.
The transformation of the automotive market structure has become the core driver of ethanol consumption growth. Data indicate that in 2025, passenger vehicle registrations in France reached 1.63 million units, with gasoline and hybrid vehicles accounting for 74%, doubling from 41% in 2015. In stark contrast, the share of diesel vehicles plummeted from 58% in 2015 to 6%, reflecting a fundamental shift in the fuel vehicle market landscape.
However, the market also exhibited a differentiated trend. The consumption of E85 high-ethanol gasoline, which requires flexible-fuel vehicles or conversion kits, declined after years of sustained growth, reaching 860 million liters in 2025. According to the association's analysis, this change is closely linked to fuel prices—the surge in oil prices in 2022 drove a sharp increase in E85 demand, while the decline in fuel prices in 2025 weakened the cost advantage of E85 compared to conventional gasoline, thereby affecting consumption. It is reported that E85 is a renewable fuel composed of 85% ethanol and 15% gasoline, offering superior environmental attributes but requiring specialized vehicle compatibility.
Furthermore, French bioethanol producers face new external challenges. Following the formal implementation of the trade agreement between the European Union and Mercosur, a substantial ethanol import quota will be gradually opened over five years. Although the agreement includes bilateral safeguard clauses for sensitive products such as ethanol, which can be activated to protect the market in the event of a surge in imports, French producers remain concerned. They argue that stronger domestic demand growth is necessary to absorb the additional import supply and ensure the stable development of the domestic industry.
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