# FEATURE: Renewable diesel producers racing for the finish line as credits under pressure | S&P Global

> Renewable diesel is poised for a major production year in 2022 as new plants start up. Credit values under the RFS, California LCFS and the federal blending credit are under pressure from new supply, while feedstock supply is a constraint and renewable diesel trades at a large premium to conventional diesel.

- Date: 2022-02-07 · published 2022-02-07T12:00:00.000Z
- Category: policy · region US · magnitude medium
- Page: https://feedsoft.ai/events/15420-feature-renewable-diesel-producers-racing-for-the-finish-line-as-credits-under
- Commodities: [Soybean Oil](https://feedsoft.ai/c/SBO.md), [ULSD / Diesel](https://feedsoft.ai/c/DIESEL.md)

## Why it matters

Strong feedstock demand from new renewable diesel output supports vegetable oil prices, but falling credit values and feedstock tightness could slow plant ramp-up and limit that demand.

## Read by commodity

- SBO: bullish ▲
- DIESEL: neutral

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| SBO | 2020-09-21 | [Analysis: High credit values outweigh cost of production for US renewable distillates \| S&P Global](https://feedsoft.ai/events/50991-analysis-high-credit-values-outweigh-cost-of-production-for-us-renewable.md) | -6.8% | -6.4% |
| SBO | 2026-09-11 | [Biodiesel Producers Prepare for Higher US Renewable Fuel Requirements](https://feedsoft.ai/events/14995-biodiesel-producers-prepare-for-higher-us-renewable-fuel-requirements.md) | +0.2% | -2.0% |
| SBO | 2021-04-13 | [Renewable Diesel Feedstock – Green Fuel and Affordable Food Part 2 \| S&P Global](https://feedsoft.ai/events/47458-renewable-diesel-feedstock-green-fuel-and-affordable-food-part-2-s-and-p-global.md) | +7.3% | +19.6% |
| SBO | 2022-11-08 | [U.S. rush for renewable diesel may ignite fresh food fight \| Reuters](https://feedsoft.ai/events/15353-u-s-rush-for-renewable-diesel-may-ignite-fresh-food-fight-reuters.md) | -1.0% | -13.1% |
| SBO | 2021-11-12 | [Fuel the Crush: Renewable Diesel Pumps Up Soybean Demand](https://feedsoft.ai/events/15432-fuel-the-crush-renewable-diesel-pumps-up-soybean-demand.md) | -0.4% | -5.6% |
| DIESEL | 2023-10-19 | [US oil refiners crank out diesel, further squeezing margins for gasoline](https://feedsoft.ai/events/33711-us-oil-refiners-crank-out-diesel-further-squeezing-margins-for-gasoline.md) | -4.4% | -8.6% |
| DIESEL | 2018-08-08 | [Brazil Bases Diesel Price Formula on S&P Global Platts Price Assessments - Aug 8, 2018](https://feedsoft.ai/events/63729-brazil-bases-diesel-price-formula-on-s-and-p-global-platts-price-assessments.md) | -1.8% | +3.2% |
| DIESEL | 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) | +2.6% | -2.6% |

## Sources

- spglobal.com: https://www.spglobal.com/energy/en/news-research/latest-news/agriculture/020722-feature-renewable-diesel-producers-racing-for-the-finish-line-as-credits-under-pressure

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