With electric vehicles gaining traction in the U.S. automotive market, some analysts are wondering if Tesla and other EV makers could significantly disrupt the demand for corn. For agricultural machinery manufacturers like John Deere, this could spell trouble for the future of ethanol — especially given the latest climate targets in the U.S.
Deere could be threatened by weakening corn and ethanol demand in the coming decades, as climate goals prioritizing EVs continue to gain popularity, according to a report from Barron’s. While Tesla and major automakers pivoting toward an EV future aren’t specifically targeting Deere or ethanol demand with their business strategies, a decreasing need for the fuel seems a likely outcome of U.S. goals for EV adoption.
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