The oil industry, however, has a different concern. They’re worried that the change would reduce the incentive for the ethanol and corn industries to negotiate major reforms to the Renewable Fuel Standard, the federal policy that requires fuel refiners to blend specified amounts of ethanol into gasoline.
Oil companies also stand to sell less traditional gasoline, while their costs could go up, if Trump’s plan is implemented.
“I can’t overstate how disappointed we are with this decision by the president,” said Chet Thompson, president of American Fuel and Petrochemical Manufacturers, which represents fuel refiners.