US biofuel and oilseed groups are becoming increasingly concerned that large volumes of allegedly fraudulent Chinese used cooking oil (UCO) could be coming into the country, Bloomberg reported.
According to US International Trade Commission (ITC) data, US imports of UCO more than tripled in 2023 compared to the previous year to total 1.4M tonnes, with more than 50% coming from China.
The industry groups were urging the government to act to tighten checks on UCO imports, the 7 May report said. Similar concerns about UCO from China were raised last year by the European biofuel sector.
As UCO has a better carbon intensity score than feedstocks widely produced in the USA like soyabean oil, any alleged imports are benefiting from Biden’s renewables incentives at the expense of American farmers, Bloomberg wrote. In addition, UCO was about a third cheaper than refined soyabean oil.
“We’re putting more pressure on the US government to say what are we really importing,” Todd Becker, CEO of ethanol producer Green Plains, was quoted as saying.
One of the main concerns was that China shippers were mixing UCO and palm oil, Bloomberg wrote.
China’s Ministry of Commerce did not respond to the news agency’s faxed request for comment.
The Environmental Protection Agency (EPA) has had discussions with industry stakeholders, including the National Oilseed Processors Association (NOPA), about concerns over increased imports of UCO and other food wastes, agency spokesman Nick Conger was quoted as saying.
Conger said the EPA was aware of the increased imports and that would be a factor in establishing volumes for, and implementing, the Renewable Fuel Standard (RFS) Program, which mandated how much biofuel must be blended into the country’s fuel supply each year.
“We are concerned that unless EPA and other agencies get a handle on this pretty quickly, it could potentially undermine the integrity of the RFS,” Renewable Fuels Association CEO Geoff Cooper was quoted as saying.
The Clean Fuels Alliance America (CFFA), which represents renewable diesel and sustainable jet fuel producers, had been directed by its board to look into the surge in UCO from China and the possibility of fraudulent shipments coming into the USA, Bloomberg wrote.
“Our goal is to protect our members and combat any unfair trade that we find,” CFFA director of public affairs and federal communications Paul Winters was quoted as saying.
“We aren’t assuming practices are unfair just because there’s more trade,” he said.
NOPA CEO Kailee Tkacz Buller was quoted as saying that the group has had talks with federal lawmakers and agencies including the EPA and the US Department of Agriculture.
Asia is by far the world’s biggest UCO supplier, led by China, according to the Bloomberg report.
