Big Changes Afoot in US Trade of Biobased Diesel
by Ron Kotrba (Biobased Diesel Daily) A big shift is occurring in U.S. trade of biobased diesel so far this year, according to the latest import and export numbers released by the U.S. Energy Information Administration. Renewable diesel imports are down, biodiesel imports and exports are up, and Singapore is rivaling Canada as the top destination for U.S. biodiesel.
Total U.S. biodiesel exports in the first half of this year approached 160 million gallons, up substantially from just over 98 million gallons for the first six months of 2021. Outside of a few large shipments of U.S. biodiesel to Singapore late last year totaling close to 7 million gallons, U.S. biodiesel exports to the Southeast Asia city-state have been historically nonexistent or negligible at most. This is no longer the case.
For the first five months of this year, U.S. biodiesel exports to Singapore surpassed those to Canada, the longstanding top export destination market for U.S. biodiesel.
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Singapore is the world’s largest bunkering hub. The rise in U.S. biodiesel exports to Singapore coincides with a significant uptick in marine biofuel trials in which shipping companies are fueling vessels with biofuels like biodiesel in B20 and B30 blends to meet corporate, industry and governmental decarbonization goals.
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Early this year, GoodFuels announced it had opened a Singapore office to serve demand for marine biofuel in the Asia-Pacific region.
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Peru and the Netherlands were also notable export markets for U.S. biodiesel from January through June 2022, with Peru receiving more than 12 million gallons and the Netherlands 8.6 million gallons.
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The downturn in U.S. renewable diesel imports coincides with a recent growth spurt in domestic renewable diesel production capacity, including a major expansion at Diamond Green Diesel in Norco, Louisiana, being completed late last year; Phillips 66 hitting its full-run rate last summer in Rodeo, California; HF Sinclair’s Cheyenne, Wyoming, unit coming online early this year and its Artesia, New Mexico, plant starting up as well; CVR Energy beginning renewable diesel production in Wynnewood, Oklahoma, this year; and Marathon hitting design capacity in Dickinson, North Dakota, last summer. READ MORE
