Projection

China’s renewable diesel development is driven by its export markets. China’s hydrogenated vegetable oil (HVO) production capacity has gradually increased since 2019 due to the demand for renewable diesel/hydrogenated vegetable oil from the European Union (EU). However, the use of waste/used cooking oil (UCO) for the bio-based diesel market in the EU and China’s HVO export potential to the EU could be hindered by the EU’s Fit for 55 package.

In December 2023, the European Commission (EC) initiated an anti-dumping investigation into biodiesel imports from China, following complaints from EU biodiesel producers who argued that Chinese imports were being sold at unfairly low prices, damaging the EU’s domestic biodiesel industry. The European Biodiesel Board (EBB) also noted that thi