Top 10 Biodiesel Trends 2018: what’s up with the world’s favorite advanced biofuel?

June 6, 2018 |

It’s been a year of chop and change for biodiesel, the world’s favorite advanced biofuel. The quest for energy security, domestic jobs and reduced greenhouse gas emissions has felt like a Monte Carlo car rally: the pace has been fast, the turns have been dizzying, just when you feel that biodiesel is on top there’s been tough news, and yet the fuel and its stakeholders have kept rebounding, and overall the trends have been good. 

We’ve organized the state of biodiesel into 10 areas of vital interest ranging from the development of markets to the entry of ancillary products and new feedstocks.

#1 Tax & Trade

Free trade vs fair trade: Dumping and tax credit issues continue to mezmerize the industry, as the US-Europe-Indonesia-Argentina struggle continues

Argentina to raise biodiesel export tax to 15% as of July 1

In May, we reported that the country’s export tax on soybean oil-based biodiesel will nearly double to 15% as of July 1 from the current 8% level. The move is in part to help boost tax receipts to compensate for the president’s elimination of export taxes on corn and wheat shortly after taking office in December 2015 while also working to narrow the gap between taxes on soybean and soy oil exports, currently 27% and 25% respectively, and taxes on biodiesel exports.

Argentina to raise biodiesel export tax to 15% as of July 1

NBB disappointed omnibus spending bill didn’t reinstate biodiesel tax credit

In March, we reported that the U.S. Congress passed an omnibus spending bill to fund the government that did not include a reinstatement of the biodiesel tax credit.

“The National Biodiesel Board is again disappointed that Congress has failed to provide pro-growth tax certainty for a domestic energy industry that has broad, bipartisan support. The lack of urgency by Congress to extend this expired tax credit continues to frustrate the producers, blenders and marketers of biodiesel,” said Kurt Kovarik, vice president of federal affairs for the National Biodiesel Board (NBB). “We will work to educate members of the economic and environmental benefits of increased use of biodiesel, so that Congress is poised to drive investments in this American energy industry.”

In February 2018, Congress passed a retroactive extension of the biodiesel tax incentive for 2017 only. But producers continue to operate in 2018 without a tax credit, which is forcing biodiesel producers nationwide to carry the risk of the uncertainty caused by the lack of the tax credit. For some small biodiesel producers, that can be the difference between keeping the lights on or shuttering down.

NBB disappointed omnibus spending bill didn’t reinstate biodiesel tax credit

Indonesia to take US to WTO over biodiesel anti-dumping duties

In April, we reported that the country is ready to take the US to the World Trade Organization over anti-dumping duties lobbed on its biodiesel exports that have all but closed trade. Already, Indonesian exporters have submitted an appeal to US courts against the decision taken by the U.S. International Trade Commission to apply duties of between 126.97 to 341.38 percent. While awaiting the appeal decision, the government will file directly with the WTO in an effort to get the duties dropped.

Indonesia to take US to WTO over biodiesel anti-dumping duties

European Commission to begin registering Argentine biodiesel imports

In May, we reported hat as part of the European Commission’s most recent trade investigation into potential dumping of Argentine biodiesel on the European market, the EC will begin registering imports of Argentine biodiesel as of Friday in an effort to better track potential increases in import volumes and be able to respond quicker.  The EC says it has sufficient proof that the Argentine government is subsidizing production of biodiesel in a number of ways.

European Commission to begin registering Argentine biodiesel imports Friday

Prev1 of 10
Use your ← → (arrow) keys to browse

Print Friendly, PDF & Email

Category: Top Stories

Thank you for visting the Digest.