Icahn lobbying Trump opens rift in US ethanol industry

Washington

BILLIONAIRE Carl Icahn's relationship with President Donald Trump has helped spark a round of recriminations within the US$24 billion American ethanol industry just as it navigates one of the most crucial points in its history.

The discord has emerged in the past three days as ethanol companies react to a proposal from Mr Icahn and a lobby group that would shake up how the industry is regulated.

At the heart of the dispute lies the question of who exactly should be responsible for complying with a 12-year-old law mandating the blending of ethanol in gasoline.

Mr Icahn, a renowned corporate raider, controls one of the largest independent US refiners. He argued loudl…