# Understanding the 45Z tax credit and RFS changes: US biomass-based diesel and SAF at a crossroads - Fastmarkets

> Fastmarkets analyzes how the 45Z tax credit and Renewable Fuel Standard changes are reshaping US biomass-based diesel and sustainable aviation fuel markets. The policies prioritize domestic production and feedstocks and restrict imported feedstocks. Reduced SAF credits and trade restrictions are cited as risks to adoption.

- Date: 2025-07-28 · published 2025-07-28T12:00:00.000Z
- Category: policy · region US · magnitude medium
- Page: https://feedsoft.ai/events/15106-understanding-the-45z-tax-credit-and-rfs-changes-us-biomass-based-diesel-and
- Commodities: [Soybean Oil](https://feedsoft.ai/c/SBO.md)

## Why it matters

Domestic-focused incentives increase competition for soybean oil and used cooking oil, supporting domestic oil prices. Import restrictions raise feedstock costs for foreign-sourced biofuel production.

## Read by commodity

- SBO: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| SBO | 2026-10-22 | [Renewable Fuel Standards 2026: where US D4 supply stands against the biomass-based diesel requirement - Fastmarkets](https://feedsoft.ai/events/14986-renewable-fuel-standards-2026-where-us-d4-supply-stands-against-the-biomass.md) | -0.7% | — |
| SBO | 2025-12-19 | [RIN Haircut Debate: How a 50% RIN Credit for Imports Could Reshape Biomass-Based Diesel Markets - RINSTAR](https://feedsoft.ai/events/15065-rin-haircut-debate-how-a-50-rin-credit-for-imports-could-reshape-biomass-based.md) | +0.5% | +4.2% |
| SBO | 2020-02-05 | [U.S. biomass-based diesel tax credit renewed through 2022 in government spending bill - Mansfield Energy](https://feedsoft.ai/events/54471-u-s-biomass-based-diesel-tax-credit-renewed-through-2022-in-government-spending.md) | -0.0% | -4.2% |
| SBO | 2022-06-30 | [EIA: Ethanol and Biomass-based Diesel Prices - Fuels Market News](https://feedsoft.ai/events/15389-eia-ethanol-and-biomass-based-diesel-prices-fuels-market-news.md) | -11.1% | -14.1% |
| SBO | 2018-11-30 | [EPA Finalizes RFS Volumes for 2019 and Biomass Based Diesel Volumes for 2020 \| U.S. EPA News Releases \| US EPA](https://feedsoft.ai/events/61899-epa-finalizes-rfs-volumes-for-2019-and-biomass-based-diesel-volumes-for-2020-u.md) | +3.0% | -0.5% |

## Sources

- fastmarkets.com: https://www.fastmarkets.com/insights/us-biomass-based-diesel-and-saf-at-a-crossroads-understanding-the-45z-tax-credit-and-its-ripple-effects/

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