# Biofuel Producers Shutting Down Without 45Z Guidance - Governors' Biofuels Coalition

> Biodiesel plants are shutting down or considering idling because the Treasury has not issued 45Z clean fuel credit regulations. Producers say selling at current prices would mean large losses, and some plants have already stopped. The Clean Fuels Alliance estimates 25% to 75% of the industry could idle by year-end or January without guidance.

- Date: 2024-10-28 · published 2024-10-28T12:00:00.000Z
- Category: policy · region US · magnitude medium
- Page: https://feedsoft.ai/events/15174-biofuel-producers-shutting-down-without-45z-guidance-governors-biofuels
- Commodities: [Soybean Oil](https://feedsoft.ai/c/SBO.md), [Soybeans](https://feedsoft.ai/c/SOY.md)

## Why it matters

Idling biomass-based diesel plants would cut soybean oil demand, and the trade group estimates a 25% shutdown would remove about 250 million pounds of soyoil use, which is bearish for soyoil and soybeans.

## Read by commodity

- SBO: bearish ▼
- SOY: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| SBO | 2017-09-27 | [EPA signals cut to U.S. biodiesel blending; soyoil prices drop - Governors' Biofuels Coalition](https://feedsoft.ai/events/69027-epa-signals-cut-to-u-s-biodiesel-blending-soyoil-prices-drop-governors-biofuels.md) | -2.2% | +3.3% |
| SBO | 2017-09-28 | [EPA considers reductions to 2018, 2019 RVOs - Governors' Biofuels Coalition](https://feedsoft.ai/events/68824-epa-considers-reductions-to-2018-2019-rvos-governors-biofuels-coalition.md) | -0.1% | +3.8% |
| SBO | 2017-10-02 | [Tax credit expiration prompts rethinking of RFS mandates - Governors' Biofuels Coalition](https://feedsoft.ai/events/68342-tax-credit-expiration-prompts-rethinking-of-rfs-mandates-governors-biofuels.md) | +0.4% | +7.0% |
| SBO | 2019-07-02 | [Nebraska biodiesel plant shutting down - Brownfield Ag News](https://feedsoft.ai/events/58192-nebraska-biodiesel-plant-shutting-down-brownfield-ag-news.md) | -0.4% | +1.2% |
| SBO | 2020-11-20 | [Government authorizes import of soy oil for biodiesel production - DatamarNews](https://feedsoft.ai/events/50221-government-authorizes-import-of-soy-oil-for-biodiesel-production-datamarnews.md) | -0.3% | +3.2% |
| SOY | 2017-09-27 | [EPA signals cut to U.S. biodiesel blending; soyoil prices drop - Governors' Biofuels Coalition](https://feedsoft.ai/events/69027-epa-signals-cut-to-u-s-biodiesel-blending-soyoil-prices-drop-governors-biofuels.md) | -0.9% | +1.2% |
| SOY | 2017-09-28 | [EPA considers reductions to 2018, 2019 RVOs - Governors' Biofuels Coalition](https://feedsoft.ai/events/68824-epa-considers-reductions-to-2018-2019-rvos-governors-biofuels-coalition.md) | -0.8% | +1.0% |
| SOY | 2025-10-07 | [Federal Biofuel Policies Likely To Drive Demand For U.S. Corn, Soybeans - Michigan Advanced Biofuels Coalition](https://feedsoft.ai/events/15081-federal-biofuel-policies-likely-to-drive-demand-for-u-s-corn-soybeans-michigan.md) | -1.0% | +10.0% |

## Sources

- governorsbiofuelscoalition.org: https://www.governorsbiofuelscoalition.org/biofuel-producers-shutting-down-without-45z-guidance/

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