Lots of activity and new biodiesel production capacity is taking place in China at the moment. The latest report has China Clean Energy spending $9 million on a new facility which will increase the company's biodiesel production capacity by approximately 50,000 tons per year to be completed by the first half of 2008. They plan a second phase, to be completed by the end of 2008 which will require a further $6 million and also add around 50,000 tons per year capacity. China Clean Energy has signed long-term palm oil leavings (waste) agreements for their feedstock.

In its 11th Five Year Plan, the Chinese government is pushing renewable energy such as biofuels to reduce reliance on oil imports, promote environmentally friendly energy and keep the economy pumping along. Along with feedstock imports such as palm oil and palm oil leavings, China has a whole lot of waste cooking oil apparently which the government is also eyeing for extra biodiesel. China is now the second largest oil consumer in the world.

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[Source: Biofuel Review]


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