Statement I is incorrect. The United States is the largest producer of ethanol, with a production of 58.82 billion liters in 2023, while Brazil produced 35.4 billion liters, making it the second-largest producer. Statement II is correct. Brazil primarily uses sugarcane for ethanol production, while the USA primarily uses corn. However, Statement II does not explain Statement I, as the difference in production volumes is not directly due to the feedstock used but rather other factors such as production capacity and market demand.