CHINA’S 2015 ethanol imports were 25 times larger than a year ago, as buyers sought to profit from low global prices and meet rising demand, customs data showed Tuesday.

    China imported a record 686,904 cubic meters of ethanol last year, jumping from just 26,717 cubic meters in 2014, the data showed. Imports of 180,984 cubic meters in December far surpassed the previous monthly record set in November.

    Ethanol imports in November and December surged as buyers rushed to purchase cargoes before the end of the year ahead of an anticipated increase in customs duties in 2016, said a China-based ethanol trader who cannot be identified because of company policy. The customs increase was not enacted.

    Cheaper international ethanol prices also spurred overseas buying. Domestic prices at the time the late-2015 cargoes were purchased in September were around 5,500 yuan (US$836.12) per tone, supported by high local corn prices, noted the trader.

    “Price is still a key reason [for imports],” she said. “The CFR (import) price at that time was much lower than the RMB price, at about US$600-620 per ton.”

    China’s 2015 fuel ethanol consumption is estimated at about 2.5 million tons, according to pricing agency ICIS.

    The growth in China’s appetite for fuel ethanol this year is being closely watched by producers in the United States, the world’s biggest producer.

    (SD-Agencies)