By Tarso Veloso, Kim Chipman and Isis Almeida
Bloomberg News
The U.S. renewable diesel rush is losing steam as soaring costs eat into profits, prompting the world’s top crop trader and North America’s largest energy company to pull back on planned investments.
kAmp8C:4F=EFC2= 3696>@E9 r2C8:== x?4] D2:5 :E 92D DFDA6?565 A=2?D E@ 3F:=5 2 8:2?E D@J362?\AC@46DD:?8 A=2?E E92E H@F=5 92G6 AC@G:565 7665DE@4< E@ E96 C6?6H23=6 5:6D6= :?5FDECJ 5F6 E@ “D9:7E:?8 >2C<6E 5J?2>:4D]” tII@? |@3:= r@CA] 92D >62?H9:=6 42?46=65 2 562= E@ 3FJ E96 8C66? 7F6= 7C@> v=@32= r=62? t?6C8J w@=5:?8D x?4][ 2 4@>A2?J E92E D2:5 :E’D 724:?8 AC@;64E 56=2JD :? A2CE 7C@> =24< @7 D<:==65 H@C<6CD]k^Am
kAm%96 C6EC6?49>6?E :D 2 D6E324< 7@C 2? :?5FDECJ E92E 6IA64E65 2 3@@DE 7C@> !C6D:56?E y@6 q:56?’D x?7=2E:@? #65F4E:@? p4E[ E96 =2C86DE :?G6DE>6?E :? 6?6C8J 2?5 4=:>2E6 :? E96 &]$]k^Am
kAm#6?6H23=6 5:6D6= — >256 7C@> 4C@AD 2?5 2?:>2= 72E — :D 496>:42==J 6BF:G2=6?E E@ E96 A6EC@=6F>\32D65 7F6=[ 2?5 92D 366? 96C2=565 2D E96 36DE D@=FE:@? E@k^Am
kAmC65F46 42C3@? 6>:DD:@?D :? 92C5\E@\ 6=64EC:7J 962GJ C@25 EC2?DA@CE]k^Am
kAmqFE DFC8:?8 4@>>@5:EJ 2?5 =23@C 4@DED 92G6 3@@DE65 E96 AC:46 E28 E@ 3F:=5 724:=:E:6D H96? AC@A@D65 8@G6C?>6?E >2?52E6D E@ 3=6?5 3:@7F6=D :?E@ 5:6D6= 2?5 82D@=:?6 92G6 72:=65 E@ >66E :?5FDECJ 6IA64E2E:@?D] %92E’D AFEE:?8 2E C:D< 3:==:@?D @7 5@==2CD :? 6IA2?D:@? A=2?D E92E H6C6 6IA64E65 E@ 7F6= 2 D6G6?7@=5 :?4C62D6 :? p>6C:42? 8C66? 5:6D6= AC@5F4E:@? 3J a_ad 7C@> a_a_ =6G6=D]k^Am
kAm“!C@46DD@CD 4@?E:?F6 E@ 36 7CFDEC2E65 3J 56=2JD[ H9:49 :?4=F56 D9@CE286D @7 D<:==65 4@?DECF4E:@? =23@C[ E96 2G2:=23:=:EJ @7 DE66= 2?5 F?6IA64E65 4@DE :?4C62D6D 3C@F89E @? 3J DFAA=J 492:? :DDF6D[” D2:5 y@9? y2?D6?[ G:46 AC6D:56?E @7 >2C<6E:?8 2E &?:E65 $@J362? q@2C5]k^Am
kAmv=@32= 3:@7F6= :?G6DE>6?ED E@E2=65 Sd]h 3:==:@? =2DE J62C[ E96 D64@?5\9:896DE 2>@F?E :? >@C6 E92? 2 564256[ 244@C5:?8 E@ q=@@>36C8}tu] #6?6H23=6 5:6D6= 2EEC24E65 hbT @7 =2DE J62C’D 7F?5:?8] x? a_a`[ DA6?5:?8 E@E2=65 Sf]f 3:==:@?]k^Am
kAmq:==:@?D @7 5@==2CD 92G6 2=D@ A@FC65 :?E@ @:=D665 4CFD9:?8] $E:==[ D@>6 b_T @7 E96 255:E:@?2= a]a >:==:@? 3FD96=D 2 52J @7 D@J362?\AC@46DD:?8 42A24:EJ H@?’E 36 @A6C2E:?8 3J a_ae[ :?5FDECJ 4@?DF=E2?E v@C5@? s6??J D2:5 E9:D A2DE H66< :? 2 AC6D6?E2E:@? E@ &]$] D@J 3FJ6CD :? x?5@?6D:2]k^Am
kAmqF:=5:?8 2 D@J362? AC@46DD:?8 A=2?E 2?5 65:3=6 @:= C67:?6CJ ?@H 4@DED 23@FE a_T E@ adT >@C6 E92? EH@ J62CD 28@[ 244@C5:?8 E@ s6??J]k^Am
kAmpC496C\s2?:6=D\|:5=2?5 r@]’D r9:67 tI64FE:G6 ~77:46C yF2? {F4:2?@ D2:5 =2DE >@?E9 E92E E96 6IA2?D:@? :? C6?6H23=6 5:6D6= H:== 36 3F>AJ[ 2?5 25565 E92E ?@E 2== A=2?ED 2??@F?465 “H:== 4@>6 @? E96 6I24E J62C]”k^Am
kAm!C@46DD:?8 D@J362?D E@ >2<6 E96 4@@<:?8 @:= FD65 :? C6?6H23=6 5:6D6= 92D 364@>6 =6DD AC@7:E23=6] %92E’D 3642FD6 D<J\9:89 AC:46D @7 6G6CJE9:?8 7C@> D@J E@ 42?@=2 @:= 7@==@H:?8 #FDD:2’D :?G2D:@? @7 &<C2:?6 4FC365 56>2?5] %@ >2<6 >2EE6CD H@CD6[ &]$] 8@G6C?>6?E >2?52E6D AC@A@D65 :? s646>36C 76== 72C D9@CE @7 :?5FDECJ 6IA64E2E:@?D]k^Am
kAmr2C8:== AFE :ED A=2? E@ 3F:=5 2 D@J362? AC@46DD:?8 A=2?E :? w2JE:[ |:DD@FC:[ “@? A2FD6 5F6 E@ >2?J D9:7E:?8 >2C<6E 5J?2>:4D[” 2 4@>A2?J DA@<6DA6CD@? D2:5 yF?6 f] %96 724:=:EJ H2D 6IA64E65 E@ 36 E96 3:886DE E@ 4@>6 @?=:?6 3J a_ae]k^Am
kAmqF:=5:?8 A=2?D H6C6 AFE @? 9@=5 27E6C E96 |:??62A@=:D\32D65 EC256C 3@F89E 72>:=J\@H?65 D@J362? AC@46DD@C ~H6?D3@C@ vC2:? r@>A2?J :? y2?F2CJ[ C65F4:?8 :ED ?665 7@C 2 4@DE=J ?6H 724:=:EJ[ 244@C5:?8 E@ A6@A=6 72>:=:2C H:E9 E96 >2EE6C H9@ 2D<65 ?@E E@ 36 :56?E:7:65 3642FD6 E96 56E2:=D 2C6?’E AF3=:4]k^Am
kAmtII@? 42?46=65 :ED 4@?EC24E H:E9 vrt @? |2J `h[ 244@C5:?8 E@ 2 C68F=2E@CJ 7:=:?8] %96 %6I2D @:= 8:2?E D2:5 :? 2? 6>2:=65 DE2E6>6?E E92E E96 >@G6 DE6>D 7C@> “4@?E:?F65 56=2JD 2?5 >:D>2?286>6?E[” 2 4=2:> E96 r2=:7@C?:2\32D65 4@>A2?J C6;64ED] vrt[ H9:49 :D 4@?E6DE:?8 tII@?’D >@G6[ 92D D2:5 :ED AC@;64E :D 56=2J65 5F6 E@ :DDF6D :?4=F5:?8 >2E6C:2= D9@CE286D]k^Am
kAm$@>6 2C6 DE:== A@D:E:G6] qF?86 {E5]’D r9:67 u:?2?4:2= ~77:46C y@9? }6AA= D2:5 :? 2 u63CF2CJ :?E6CG:6H E92E 8@G6C?>6?E >2?52E6D H6C6 >@C6 2 C67=64E:@? @7 H92E E96 t?G:C@?>6?E2= !C@E64E:@? p86?4J E9@F89E E96 7665DE@4< 2G2:=23:=:EJ H@F=5 36[ C2E96C E92? 24EF2= 56>2?5 7C@> E96 6?6C8J :?5FDECJ]k^Am
kAm“%96 &]$] 72C>6C H:== 7:?5 2 H2J E@ 8C@H D@J362?D[” }6AA= D2:5] “(6 H:== 7:?5 2 H2J E@ 86E E96 7665DE@4<D E@ E9@D6 A=2?ED]”k^Am
kAm%96 (9:E6 w@FD6 92D 366? C6G:6H:?8 E96 t!p’D A=2? E@ D6E E96 2>@F?E @7 3:@7F6=D E@ 36 3=6?565 :?E@ 5:6D6= 2?5 82D@=:?6 7@C a_ab\ad]k^Am
kAm“x7 t!p 72:=D E@ C2:D6 E96 3:@>2DD\32D65 5:6D6= G@=F>6D[ :E H:== 46CE2:?=J :>A24E AC:46D 7@C 72C> 4@>>@5:E:6D 2?5 >2C<6E @AA@CEF?:E:6D 7@C @FC AC@5F46CD[” D2:5 zFCE z@G2C:<[ G:46 AC6D:56?E @7 7656C2= 2772:CD H:E9 r=62? uF6=D p==:2?46 p>6C:42[ 255:?8 E92E D@J G2=F6D 4@F=5 72== 2D >F49 2D `bT :7 E96 CF=6D 2C6?’E >62?:?87F==J 492?865]k^Am
Be the first to know
Get local news delivered to your inbox!