China’s decision to extend anti-dumping measures on Canadian canola until March 2026 has intensified pressure on Canada’s agriculture sector. In response, Prime Minister Mark Carney announced an incentive plan to boost domestic use of canola oil in biodiesel production, aiming to reduce reliance on exports and create new demand at home. While canola oil exports to China are limited, canola meal exports remain significant, with over 2 million tons shipped in 2024. At the same time, Canada achieved record sales to the U.S. last year, with combined canola oil and meal exports worth CAD 7.7 billion. By fostering biodiesel development and leveraging U.S. demand, Canada hopes to transform this trade challenge into an opportunity for energy transition and agricultural resilience.
Qantas Strengthens Commitment to Sustainability
Qantas has reaffirmed that sustainability remains its top priority, pledging over US$65 million towards sustainable aviation fuel (SAF) and other decarbonization projects. The airline has expanded SAF usage in Los Angeles and committed to consuming more than 100 million liters over the next three years. In its annual results, Qantas also announced an investment in ClimateTech Partners, a venture fund supporting climate-focused businesses and projects. These steps highlight Qantas’ strategy to accelerate its low-carbon transition and lead the aviation industry toward a more sustainable future.
White House Weighs Rule on Biofuel Exemptions and Refiners’ Obligations
The White House is reviewing a draft rule that could reshape the Renewable Fuel Standard by deciding whether to reallocate biofuel blending volumes recently exempted for small refineries.
The stakes are high: farmers depend on stable ethanol and biodiesel demand to support corn and soybean markets, while refiners seek relief from costly blending mandates. Last month, the EPA granted more than 140 exemptions from a backlog of applications, raising concerns among biofuel producers that overall blending targets would be undermined. The new proposal, covering 2023 and beyond, includes a preferred option and alternatives for redistributing those exempted gallons.
Its outcome will determine billions of gallons of U.S. biofuel demand and the balance between agricultural and oil industry interests.
U.S. Biofuel Imports Plunge to Decade Low After Tax Credit Shift
The U.S. Energy Information Administration (EIA) reported that imports of biodiesel and renewable diesel are set to fall to their lowest levels in more than a decade during the first half of 2025. This sharp decline follows recent changes to the federal fuel tax credit policy, which previously granted a $1 per gallon credit to both domestic production and imports. Under the revised framework, only domestically produced fuels are eligible, placing imports at a significant economic disadvantage.
According to EIA data, U.S. biodiesel imports averaged just 2,000 barrels per day in the first half of 2024, compared with 35,000 barrels per day in the same period a year earlier. Renewable diesel imports also plunged from 33,000 barrels per day to 5,000 barrels per day, marking the lowest levels since 2012. In addition to the tax credit changes, uncertainty around blending requirements and negative margins for blending have further dampened demand.
While consumption may rise in the coming months to comply with the Renewable Fuel Standard (RFS), EIA projects that U.S. net imports of biodiesel will remain depressed through 2025 and 2026, hitting their lowest point since 2012.

Shell Halts Rotterdam Biofuels Project, Reaffirms Focus on Low-Carbon Fuels
On September 3, Shell Netherlands, a subsidiary of Shell, announced it will not restart the construction of a large biofuels plant at its Rotterdam Energy and Chemicals Park, originally planned in 2022 with a capacity of 275 million gallons per year. After a thorough commercial and technical review, Shell concluded the project lacked sufficient competitiveness to meet customer demand for affordable low-carbon products. Machteld de Haan, Shell’s EVP for Downstream, Renewables and Energy Solutions, said the decision was difficult but necessary, allowing investments to focus on projects that deliver both customer value and shareholder returns. Despite this move, Shell reaffirmed its commitment to low-carbon molecules such as biofuels and SAF, highlighting that in 2024 its low-carbon fuel trading volume exceeded 10 billion liters. The company has also invested heavily in the Netherlands in CCS, renewable hydrogen, and electrification initiatives.

Hawaiian Airlines Introduces SAF on Osaka–Honolulu Route
On August 29, Hawaiian Airlines announced it will use Sustainable Aviation Fuel (SAF) on flights between Osaka and Honolulu, under a supply agreement between its parent company Alaska Airlines Group and Cosmo Oil Marketing Co., a subsidiary of Cosmo Energy Holdings.
The airline began fueling with SAF at Kansai International Airport in August, marking its first use of the fuel in Japan. SAF can reduce lifecycle carbon emissions by up to 80% compared to conventional jet fuel.
Supported by a NEDO subsidy in 2021, Cosmo’s project uses domestically sourced used cooking oil (UCO) to produce SAF. Its plant will be Japan’s first large-scale SAF facility, with products certified under ISCC CORSIA and ISCC EU standards.

EU Can Appeal Indonesia Palm Oil Case via Temporary Mechanism, Tariff Outcome Uncertain
Recently, a WTO ruling favored Indonesia, determining that most of the EU’s 8%-18% anti-subsidy tariffs on Indonesian palm oil, imposed since 2019, are invalid. The European Commission must decide by October 22 whether to remove the tariffs or file an appeal.
As the WTO Appellate Body is currently frozen, the EU can choose to appeal through a temporary mechanism to prevent the case from being indefinitely stalled. This decision not only affects EU-Indonesia trade but could also impact the global palm oil market.

Malaysia to Mandate 1% SAF Blending for International Flights from 2027
Malaysia’s Deputy Minister of Plantation and Commodities, Datuk Chan Foong Hin, announced that the government plans to mandate a 1% Sustainable Aviation Fuel (SAF) blending requirement for all international flights departing from Kuala Lumpur International Airport (KLIA) starting January 2027. The detailed implementation framework is currently being discussed with industry players and stakeholders. With Ecoceres Renewable Fuels’ new facility in Tanjung Langsat, Johor, commencing commercial operations, Malaysia is expected to begin domestic SAF production by the end of this year.
The ministry is actively working to build a local SAF ecosystem by issuing licenses under the Malaysian Biofuel Industry Act 2007, while also supporting infrastructure for storage, blending, transportation, and distribution. In addition, the National Biofuel Policy is under review to position SAF and other second-generation biofuels as strategic components, aligned with technological progress and global market demand.
A national SAF strategy document is also being prepared, covering feedstock supply assessments and initiatives such as public awareness campaigns on used cooking oil collection in collaboration with industry and communities. These measures aim to establish a solid foundation for Malaysia’s sustainable aviation fuel development.

Airbus and Air France complete first flight of SAF A220
On August 25, 2025, an Air France Airbus A220 completed its delivery flight from Airbus’ Mirabel facility in Canada to Paris, powered by Sustainable Aviation Fuel (SAF).
Airbus highlighted that this flight marks a significant step forward, as it is the first time the company has directly issued an official SAF sustainability certificate to a customer.
This landmark flight not only demonstrates Airbus’ ability to provide Proof of Sustainability (POS) directly to customers and operators, but also reinforces the aviation industry’s commitment to decarbonization.
The delivery flight, operated by Air France’s 46th A220-300 “Vaison-La-Romaine,” used a 50% SAF blend through a mass balance process, earning POS credits and reducing lifecycle greenhouse gas (GHG) emissions by more than 25 metric tons compared to conventional fossil fuels.

UK Proposes Anti-Dumping Duties on Chinese Biodiesel Imports
On August 22, the UK Trade Remedies Authority (TRA) published the Statement of Essential Facts (SEF) for its anti-dumping investigation into biodiesel imports from China. The investigation found that Chinese biodiesel was being dumped at unfairly low prices, causing material injury to UK producers. TRA also concluded that imposing anti-dumping measures would be in the economic interest of the UK.
The proposed measures include an ad valorem duty of 15.68% on exports from the Excellence Group and un-sampled cooperating exporters, while other exporters would face 54.64%. The investigation covers biodiesel fuels, particularly fatty acid methyl esters (FAME) and hydrotreated vegetable oils (HVO), whether in pure form or blends, commonly used for road transport in the UK.
Before a final decision is made, stakeholders are invited to submit comments or additional evidence by September 22 via TRA’s online Trade Remedies Service (TRS). The investigation was initiated on June 5, 2024, following an application from the Renewable Transport Fuel Association on behalf of UK producers. These proposed duties aim to mitigate injury to the domestic industry while maintaining fair competition, targeting imports sold below fair market value, and are subject to an economic interest assessment to ensure overall benefit to the UK economy.