Why did U.S. ethanol blending credit (D6 RIN) prices fall sharply to a four-month low on Monday?

U.S. ethanol blending credit (D6 RIN) prices fell sharply to $1.75 — their lowest level since April 15 — after the Environmental Protection Agency announced it would extend the September 1, 2025 compliance deadline for refiners and issue decisions on long-pending small refinery exemption (SRE) requests by the end of August, creating market expectations of significant RIN relief.

How many RINs could be freed up by the EPA’s upcoming small refinery exemption decisions, and why does that matter for 2025 compliance?

Market participants estimate the EPA’s SRE decisions could free up between 1.2 billion and 1.8 billion RINs — with one senior trader citing a surprise expectation of ~1.8 billion — that small refiners could use to meet their 2025 biofuel blending obligations under the Renewable Fuel Standard, thereby reducing demand for purchased RINs and driving down prices.

US ethanol credit prices slump after EPA delays biofuel compliance deadline

Aug 24, 2026

U.S. ethanol blending credit prices dropped to their lowest level in over four months after the EPA delayed the September compliance deadline. Market participants anticipate significant RIN relief from pending small refinery exemptions affecting future obligations.

reuters

2026-08-24

US ethanol credit prices slump after EPA delays biofuel compliance deadline

US ethanol credit prices slump after EPA delays biofuel compliance deadline

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