JEFFERSON CITY, MO – The clean fuels industry strengthened its foundation in 2025 behind record policy targets, new engine capabilities and proven performance, setting expectations for continued growth in 2026.
“Government agencies, fleets, manufacturers and consumers in 2025 recognized that biodiesel and renewable diesel have stepped forward and taken a leadership position in fueling our nation’s transportation systems,” Clean Fuels Alliance America CEO Donnell Rehagen said. “Clean fuel use has grown dramatically in recent years, and for the first time, policymakers took full account of that growth.”
Renewable Fuel Standard sets aggressive targets
Last year, for the first time in the history of the Renewable Fuel Standard (RFS), EPA proposed robust biomass-based diesel volumes that accurately reflected the industry’s potential. EPA proposed a renewable volume obligation of 5.61 billion gallons for 2026, and a growth path of annual volume increases for 2027 and beyond.
In doing so, EPA acknowledged the industry’s investments in production capacity and domestic feedstock supplies produced by U.S. farmers.
“Today’s RFS proposal is a welcome and timely signal to U.S. biodiesel, renewable diesel and SAF producers as well as America’s farmers and agricultural businesses,” said Kurt Kovarik, Clean Fuels’ Vice President of Federal Affairs, following the June announcement.
The industry now awaits the long-overdue final rule on these volume targets from EPA.
John Deere Announces B30 Biodiesel Compatibility
Over the past decade, the Clean Fuels technical team has worked closely with John Deere to build confidence in biodiesel performance and quality through the BQ-9000® program. That collaboration helped lay the groundwork for John Deere’s August announcement approving B30 biodiesel use across its entire portfolio of Tier 4 engines. This opens opportunities for farmers who provide soybeans and other feedstocks to use even more of the products they support.
BQ-9000
The eighth annual BQ-9000® Biodiesel Quality Report once again demonstrated that accredited producers consistently deliver fuel that exceeds ASTM requirements. This assurance has helped original equipment manufacturers (OEMs) and fleets embrace higher blends, from John Deere’s equipment approvals to PepsiCo’s fleet of more than 700 B100-capable assets.
Clean fuels support the U.S. economy
Clean Fuels unveiled a new study in 2025 that updated the impact of biodiesel and renewable diesel production on America’s economy. According to the report, clean fuels support:
- $42.4 billion in economic activity
- 107,400 jobs
- $6 billion paid in annual wages
Environmental scoring improves
The environmental impact of soy-based biodiesel was shown to be even better than previous reports. Argonne National Lab in 2025 updated its GREET model for Carbon Intensity (CI) scoring with the latest data on soy production, resulting in a 40% decrease in soy biodiesel’s CI score over the past 5 years.
Clean fuels support soybean demand
All of these factors and more in 2025 set the stage for continued growth in clean fuel production and use, and improved stability for soybean markets and U.S. farmers.
Biodiesel and renewable diesel production represent 10% of the value of all soybeans grown in the United States, providing an expanding market for half of all the soybean oil processed domestically.
Today, the industry consumes, on average, more than 1 billion pounds of soybean oil every month. Looking ahead, Clean Fuels envisions that by 2030, total biodiesel and renewable diesel use across on-road, off-road, air transportation, electricity generation and home heating applications will exceed 6 billion gallons, using 18 billion pounds of soybean oil.
Contact: Heather Buechter, 479-651-7301, hbuechter@cleanfuels.org
ABOUT CLEAN FUELS ALLIANCE AMERICA
Made from an increasingly diverse mix of resources such as recycled cooking oil, soybean oil, and animal fats, the clean fuels industry is a proven, integral part of America’s clean energy future. Clean Fuels Alliance America is the U.S. trade association representing the entire biodiesel, renewable diesel and sustainable aviation fuel supply chain, including producers, feedstock suppliers and fuel distributors. Clean Fuels receives funding from a broad mix of private companies and associations, including the United Soybean Board and state checkoff organizations.
