DOE Gives More Biofuels A Path Toward 45Z

Biofuel policy leads today’s Ag News Update as producers gain a new path toward the 45Z clean fuel tax credit. Other stories include marine ethanol demand, Brazil’s export infrastructure, soybean markets, U.S.-China trade and record ARC and PLC payments.

Listen to today’s Ag News Update:

Ag News Update – Thursday 10/15/2026

Biofuel producers now have a new way to pursue the federal 45Z clean fuel tax credit when their fuel pathway is not already listed in government tables. Maersk has completed a U.S. bunkering test using 100% domestically produced corn ethanol, opening a potential new market for corn-based fuel. USDA says Brazil’s Bioceanic Corridor could cut transportation costs to Asia by 30% to 40% and shorten shipping times, increasing competition for U.S. grain. Commodity analyst Al Kluis says strong crush and export demand are helping support soybean prices despite a record crop. A new U.S.-China trade framework could lower tariffs on several farm products, but whole soybeans remain excluded and no purchases are guaranteed. Farmdoc daily estimates record 2025 ARC and PLC payments above $13 billion, while producers must make a new program election for 2026 by December 11.

Today’s Ag News Highlights

• DOE opens a new path for unlisted biofuels to pursue 45Z eligibility.

• Maersk tests 100% U.S. corn ethanol as a marine fuel.

• Brazil advances transportation projects that could lower grain export costs.

• Strong soybean demand helps support prices despite a record crop.

• Record ARC and PLC payments are approaching as 2026 enrollment opens.