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China prepares very first bio-marine fuel export quotas for 2025, traders, consultancy say

China is planning its first export quota for marine bunker that is combined with biodiesel, partly to support biofuel manufacturers hit earlier this year by European Union antidumping tariffs, according to 2 traders and a Chinese consultancy.

The government is thinking about the issue of 500,000 metric tons of such quotas and all will likely go to the nation's. state oil companies CNPC, Sinopec and CNOOC, according to one. state-oil trader and consultancy JLC.

The B24 marine fuel mix, separate from China's exports of. low-sulphur fuel oil which is likewise under quota management,. includes 24% biodiesel and 76% low-sulphur fuel oil, said the. 2 traders.

The quotas may be provided towards completion of the year or. early next year, according to the state oil trader and JLC.

The strategy is partially to help China's biodiesel refiners hit by. substantial anti-dumping tariffs the EU imposed in August that led to. falling biofuel exports and required the producers to look for brand-new. outlets.

The state refiners may aim to supply ships that cruise between. China and the EU where shipowners utilizing lower-carbon bunker. would be entitled to carbon credits, said the state oil trader.

Such a move would also assist China's Zhoushan port to boost. sales volumes of marine biofuel, in line with attempts seen at. other crucial bunker centers internationally, stated a separate Chinese state. oil trader.

The Ministry of Commerce did not right away respond to a. request for comment.

Demand for marine biofuel, mostly B24, has actually acquired more. traction this year at leading refuelling hubs such as Singapore and. Rotterdam, as shipowners look for to reduce emissions.

Bunker volumes of marine biofuel at Singapore have climbed. above 650,000 lots in 2024 up until now, currently surpassing full-year. 2023 volumes of about 520,000 tons, based on most current port. authority information.

(source: Reuters)