New ‘tailpipe’ emission standards met with disapproval

- The Nebraska Corn Growers Association (NeCGA) has voiced direct displeasure with the Environmental Protection Agency’s (EPA) final 2027-2032 emissions standards for sedans and light- and medium-duty trucks.

The plan relies almost exclusively on the use of electric vehicles, requiring automakers to produce 67% of the vehicles by 2032. A decision of this magnitude will have long-lasting negative implications for corn demand because it ignores the benefits of ethanol.

Nebraska has been at the forefront of the issue, voicing farmers’ concerns.

Economists Jeffrey Stokes and Jim Jansen, from the University of Nebraska-Lincoln’s Institute of Agriculture and Natural Resources, noted this magnitude of structural loss in corn demand could lead to a permanent 50% decrease in the price of corn causing the top five corn-producing states (Iowa, Illinois, Nebraska, Minnesota and Indiana) to collectively lose well over $100 billion in farmland value from corn acreage alone. The authors noted that such a decline would have profound implications for the financial viability of Midwestern farming operations and the nation’s food supply.

“NeCGA is not satisfied with the EPA and the chosen decision to deliberately ignore the academic research and facts, “said Chris Grams, president of the Nebraska Corn Growers Association. “This choice begins a spiral of detrimental implications. From corn farmers to rural communities, the goals set forth to reduce greenhouse gas emissions from light and medium-duty vehicles without looking at biofuels does not have any successful outcome.”