Production and consumption of Ethanol in the USA skyrocketed in June '06. This was mainly due to the continuing rise in the number of Ethanol pumps and increasing number of people becoming conscious about helping their country to reduce its reliance on oil.

In its recently published market research report "New Opportunities in US Biofuel Market ( 2006 )" RNCOS, a market research and analysis firm, has provided a comprehensive analysis of every aspect of the US biofuel industry. The report include an overview of the current trends, and also looks into the future of US biofuel market. 

It appears that US is rapidly developing an ethanol market for vehicles. In 2005, the country consumed about 140Bn gallons of gasoline ( 3.3Bn barrels ). At present, there're around 101 ethanol bio-refineries across the nation, which can produce above 114Mn barrels or 4.8Bn gallons per year. Also, forty-two ethanol refineries and seven expansions are under construction that will provide a combined yearly additional capacity of approximately 2.9Bn gallons.

According to the report, "By the beginning of 2007, total production capacity is expected to increase to 6.8Bn gallons annually. Ethanol production is also projected to surpass the mandated minimum level ( i.e. 7.5Bn gallons ) by the year 2012". "While the requirement of ethanol was 4Bn gallons in 2005, its production is likely to reach about 5Bn gallons", said an industry expert at RNCOS.