# 45Z Update: Imported UCO Now Excluded from Tax Benefit

> The US Treasury excluded imported used cooking oil from eligibility for Section 45Z clean fuel tax credits, citing fraud and inaccurate emissions reporting. Imported UCO will not count in the 45ZCF-GREET emissions model until further rules are set, leaving only domestic UCO eligible.

- Date: 2025-01-15 · published 2025-01-15T12:00:00.000Z
- Category: policy · region US · magnitude high
- Page: https://feedsoft.ai/events/8102-45z-update-imported-uco-now-excluded-from-tax-benefit
- Commodities: [Soybean Oil](https://feedsoft.ai/c/SBO.md), [Palm Oil](https://feedsoft.ai/c/PALMOIL.md)

## Why it matters

Removing imported UCO from credit eligibility reduces biofuel feedstock demand from imports and shifts demand toward domestic oils, which supports US soybean oil prices.

## Read by commodity

- SBO: bullish ▲
- PALMOIL: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| SBO | 2019-01-22 | [Soybean growers benefit from growing biodiesel industry - Brownfield Ag News](https://feedsoft.ai/events/60973-soybean-growers-benefit-from-growing-biodiesel-industry-brownfield-ag-news.md) | +4.4% | +2.5% |
| SBO | 2024-03-25 | [Darling sees 45Z benefits even with changes \| Latest Market News](https://feedsoft.ai/events/31308-darling-sees-45z-benefits-even-with-changes-latest-market-news.md) | +0.6% | -4.4% |
| SBO | 2025-01-16 | [Clean Fuel Production Credit excludes producers from using used cooking oil  - Indiana Corn and Soy](https://feedsoft.ai/events/26610-clean-fuel-production-credit-excludes-producers-from-using-used-cooking-oil.md) | -0.5% | +2.2% |
| SBO | 2026-08-28 | [Grain Journal \| Updated 45Z Model Could Boost Soybean Demand and…](https://feedsoft.ai/events/17983-grain-journal-updated-45z-model-could-boost-soybean-demand-and.md) | +6.9% | +0.6% |
| SBO | 2020-12-01 | [Argentina to Tax Grain Exports \| Feed & Grain](https://feedsoft.ai/events/49492-argentina-to-tax-grain-exports-feed-and-grain.md) | +2.6% | +12.1% |
| PALMOIL | 2022-04-25 | [Crude palm oil excluded from Indonesia export ban](https://feedsoft.ai/events/41968-crude-palm-oil-excluded-from-indonesia-export-ban.md) | +1.2% | -1.7% |
| PALMOIL | 2017-10-12 | [Malaysia Raises Palm Oil Export Tax To 6.5% For November From 6.0% In October - Nikkei Asia](https://feedsoft.ai/events/68335-malaysia-raises-palm-oil-export-tax-to-6-5-for-november-from-6-0-in-october.md) | +0.9% | +4.1% |
| PALMOIL | 2025-01-16 | [Clean Fuel Production Credit excludes producers from using used cooking oil  - Indiana Corn and Soy](https://feedsoft.ai/events/26610-clean-fuel-production-credit-excludes-producers-from-using-used-cooking-oil.md) | -0.3% | +4.2% |

## Sources

- resourcewise.com: https://www.resourcewise.com/blog/environmental-blog/45z-update-imported-uco-now-excluded-from-tax-benefit

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