# Biofuel demand to soak up more than half of US soyoil production next year, USDA says | Reuters

> The USDA raised its 2025/26 soybean oil use-for-biofuel forecast by 11.5% from the prior month to a record 15.5 billion pounds. The increase follows recent federal policy moves, including higher blending mandates and curbs on imported biofuels and feedstocks. The projection is 26.5% above the current marketing year.

- Date: 2025-07-11 · published 2025-07-11T12:00:00.000Z
- Category: report · region US · magnitude medium
- Page: https://feedsoft.ai/events/15102-biofuel-demand-to-soak-up-more-than-half-of-us-soyoil-production-next-year-usda
- Commodities: [Soybean Oil](https://feedsoft.ai/c/SBO.md)

## Why it matters

Biofuel demand absorbing more than half of US soybean oil output tightens domestic oil supply and supports soybean oil prices. Stronger oil demand also raises the crush margin for meal production.

## Read by commodity

- SBO: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| SBO | 2026-02-19 | [Soybean Oil Used for Biofuel Production Expected to Soar](https://feedsoft.ai/events/15047-soybean-oil-used-for-biofuel-production-expected-to-soar.md) | +2.7% | +1.3% |
| SBO | 2022-05-12 | [USDA: More soybean oil will go biofuel production in 2022-“23 \| Biodiesel Magazine](https://feedsoft.ai/events/41485-usda-more-soybean-oil-will-go-biofuel-production-in-2022-23-biodiesel-magazine.md) | -4.9% | -5.6% |
| SBO | 2026-08-03 | [US soybean oil use for biofuels production hits record high in May - Fastmarkets](https://feedsoft.ai/events/14999-us-soybean-oil-use-for-biofuels-production-hits-record-high-in-may-fastmarkets.md) | +2.6% | -0.7% |
| SBO | 2024-01-12 | [USDA boosts forecast for 2023-’24 soybean oil use in biofuel production \| Biodiesel Magazine](https://feedsoft.ai/events/15246-usda-boosts-forecast-for-2023-24-soybean-oil-use-in-biofuel-production.md) | -0.1% | -4.0% |
| SBO | 2026-02-23 | [USDA Outlook Points to 17% Rise in Soybean Oil Use for Biofuel Production - Michigan Advanced Biofuels Coalition](https://feedsoft.ai/events/20698-usda-outlook-points-to-17-rise-in-soybean-oil-use-for-biofuel-production.md) | +3.2% | +1.1% |

## Sources

- reuters.com: https://www.reuters.com/sustainability/climate-energy/biofuel-demand-soak-up-more-than-half-us-soyoil-production-next-year-usda-says-2025-07-11/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.