# Malaysia, Chinese firm sign deal on 2nd-generation biodiesel, biojet fuel | Reuters

> Malaysia signed a deal with Shanxi Construction to build a hydrogenated vegetable oil plant in Johor. The plant will produce second-generation biodiesel and biojet fuel. The Commodities Ministry announced the agreement.

- Date: 2021-12-13 · published 2021-12-13T12:00:00.000Z
- Category: policy · region Malaysia · magnitude low
- Page: https://feedsoft.ai/events/15861-malaysia-chinese-firm-sign-deal-on-2nd-generation-biodiesel-biojet-fuel-reuters
- Commodities: [Palm Oil](https://feedsoft.ai/c/PALMOIL.md)

## Why it matters

New HVO capacity adds a future feedstock demand source for palm oil, though the plant's effect on near-term prices is limited. It supports Malaysia's biofuel ambitions.

## Read by commodity

- PALMOIL: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| PALMOIL | 2022-04-26 | [Malaysia's biodiesel group opposes reduction of biofuel mandate](https://feedsoft.ai/events/15828-malaysia-s-biodiesel-group-opposes-reduction-of-biofuel-mandate.md) | +10.6% | -0.0% |
| PALMOIL | 2026-04-07 | [Malaysia plans phased expansion of biodiesel programme, minister says \| Reuters](https://feedsoft.ai/events/15476-malaysia-plans-phased-expansion-of-biodiesel-programme-minister-says-reuters.md) | -2.9% | -1.9% |
| PALMOIL | 2022-03-24 | [Indonesia, Malaysia commit to biodiesel mandates despite higher prices \| Reuters](https://feedsoft.ai/events/15832-indonesia-malaysia-commit-to-biodiesel-mandates-despite-higher-prices-reuters.md) | -0.9% | -4.0% |
| PALMOIL | 2017-03-07 | [Malaysia’s biodiesel production to rebound this year \| The Star](https://feedsoft.ai/events/71877-malaysia-s-biodiesel-production-to-rebound-this-year-the-star.md) | -4.1% | -7.2% |
| PALMOIL | 2026-04-14 | [Malaysia to tap idle biodiesel capacity to cushion fuel price shocks \| S&P Global](https://feedsoft.ai/events/15477-malaysia-to-tap-idle-biodiesel-capacity-to-cushion-fuel-price-shocks-s-and-p.md) | -0.7% | -0.2% |

## Sources

- reuters.com: https://www.reuters.com/markets/commodities/malaysia-chinese-firm-sign-deal-2nd-generation-biodiesel-biojet-fuel-2021-12-13/

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