生物燃料引全球高度关注Biofuels Draw Intense Global Attention

According to Green Fuel International Business Network, since the beginning of this year, shipping through the Strait of Hormuz has been continuously disrupted, bringing a double shift to the biofuel industry. The surge in crude oil prices has greatly enhanced the economic competitiveness of biofuels, and the disruption of fossil fuel supply has also prompted countries to elevate low-carbon fuels from a climate governance goal to a practical issue concerning national security, bringing biofuels high global attention.

Countries regard biofuel-related policies as necessary safeguard measures against the backdrop of conflict. But a number of international climate and food think tanks have issued warnings that, driven by conflict, countries are accelerating the development of biomass energy, which is intensifying the contradiction of "food and energy competing for feedstock" and pushing up global grain and oil prices. Data from the UN Food and Agriculture Organization show that in July 2026 the vegetable oil price index rose 2.0% month on month to 195.7 points, a new high since June 2022, with higher prices for palm oil and soybean oil offsetting weaker prices for sunflower seed oil and rapeseed oil.

Constrained by food supply and land regulations, Europe has not expanded the capacity of traditional food-based biofuels. Out of concern about food security risks triggered by the Middle East conflict, Europe continues to adhere to its long-term policy direction, focusing on waste-based feedstock and synthetic biofuels, increasing the use of waste cooking oil, and supporting non-biological renewable fuels such as e-Sustainable Aviation Fuel (e-SAF). In April 2026, the EU listed second-generation biofuels alongside wind power, photovoltaics and nuclear power as pillars of domestic clean energy, thereby resisting the economic shock of geopolitical conflict and attracting capital into advanced bioethanol, hydrogenated vegetable oil and low-carbon shipping fuels. Hydrogenated vegetable oil can directly replace fossil diesel, using waste cooking oil as feedstock without consuming any food; first-generation biodiesel such as rapeseed methyl ester (RME), by contrast, relies heavily on oilseed crops.

Asian countries are also stepping up biofuel projects to reduce imports of high-priced crude oil. Asia's primary goal in developing biofuels is to safeguard energy security, with decarbonization secondary. India is implementing the E20 ethanol blending standard for ordinary vehicles and piloting E85 high-ratio ethanol fuel; Indonesia implemented the B50 biodiesel blending standard in July 2026, a significant increase over the previous B35 and B40 standards; and Malaysia has implemented the B15 standard and is preparing to switch to B20.

In the Americas, the United States has set the highest biofuel blending targets in history for 2026 to 2027, with policy focusing on second-generation biofuel blending. The US Environmental Protection Agency estimates that domestic biodiesel and renewable diesel output needs to grow by more than 60% from 2025. Even in a policy environment favoring fossil energy, biofuels remain an important lever for stabilizing domestic oil prices and safeguarding energy autonomy. The United States has adjusted its Sustainable Aviation Fuel (SAF) tax credit policy, lowering the per-unit subsidy, relaxing access conditions and extending the subsidy to 2029.

As a result, second-generation low-carbon fuel projects that had been shelved for years, such as hydrogenated vegetable oil and Sustainable Aviation Fuel (SAF), are expected to accelerate. Such fuels use waste, non-food feedstocks and are an ideal solution for countries to avoid food crises and shake off the turbulence of oil-producing regions. In the future, policymakers in various countries will need to strike a difficult balance between energy security goals, tightening feedstock supply and rising agricultural costs.