Biomass-based diesel manufacturers used 4.95 billion pounds of soybean oil during the first six months of 2022, a sizeable increase over H1 2021 and up 34 percent from Jan-Jun 2019, when the industry saw significant expansion in renewable diesel production.
Production of renewable diesel is now hard on the heels of biodiesel, at 562 million gallons during Jan-May (the most recent month’s data from EIA) vs. 630 million gallons for biodiesel. In 2021, total RD production was 815 million gallons vs. 1.64 billion gallons of biodiesel. U.S. production capacity for RD has increased from 1.11 billion gallons at the end of 2021 to 1.95 billion as of June 2022, up 75 percent. Imported RD (from Singapore) accounts for roughly 15 percent of monthly supply.
Biodiesel capacity, on the other hand, has contracted slightly, averaging 2.22 billion gallons in 2022 vs. 2.41 billion in 2021, down 7.5 percent, as production and consumption have declined. Production and consumption of biodiesel are now closely matched, and the U.S. has lately been a net exporter, trading mostly with Canada.
Total known use of biomass-based diesel feedstocks in June was 1.9 billion pounds (of which soybean oil use was 43 percent); EIA does not report volumes for a few feedstocks, such as palm oil, but their use is modest and usually less than 10 percent of the feedstock pool. June feedstock use was down about 2 percent from May but up 27 percent year over year. In addition to greater use of soybean oil, yellow grease and distillers corn oil are seeing higher demand as feedstocks—even expensive canola oil is up from year-ago use.
Feedstocks consumed for biofuel: Biodiesel & renewable diesel
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