The Brazilian government is increasing the mandatory blend of anhydrous ethanol in gasoline from 30% [1] to 32% [1].

This policy shift seeks to reduce the nation's reliance on foreign fuel sources and support the domestic biofuel industry. By raising the renewable share of the energy matrix, the government aims to reach total self-sufficiency and zero ethanol imports [4].

Minister of Mines and Energy Alexandre Silveira said the proposal was confirmed [1]. Other reports indicate that Vice President Geraldo Alckmin also announced the measure [2]. The announcement took place on May 24, 2026 [3].

While some reports suggest the new blend was set for implementation shortly after the announcement, other sources said the proposal required evaluation by the National Council for Energy Policy (CNPE) during May 2026 [1, 2].

The move responds to long-standing demands from the biofuel sector to increase the use of renewable energy in transport. The adjustment of two percentage points reflects a strategic effort to balance domestic production with national consumption needs [1, 4].

Brazil has long been a global leader in ethanol production, utilizing sugarcane as a primary feedstock. This latest increase is part of a broader strategy to stabilize the national fuel market and decrease the economic impact of volatile international oil prices [4].

“The Brazilian government is increasing the mandatory blend of anhydrous ethanol in gasoline from 30% to 32%.”

This increase signals Brazil's commitment to a bio-based economy to hedge against global energy price fluctuations. By mandating a higher ethanol percentage, the government effectively creates a guaranteed internal market for sugarcane producers, which reduces the trade deficit associated with fuel imports and lowers the carbon intensity of the national transport fleet.