Xiamen plant to double China Biodiesel output

China Biodiesel International Holding Co.Ltd. expects to double its annual output to 110,000 tons, with its new plant at Xiamen in Fujian province to open in early June. The 50,000-ton plant will draw biodiesel from lower-grade waste animal or vegetable oils such as palm fatty acid distillate imported from Southeast Asian countries like Indonesia and Malaysia, according to a company spokesperson. The company now operates two plants in China, the newly set up Xiamen plant and a combined 50,000-ton facility in Longyan. Production at the Longyan facility was expanded to 55,000 tons with the opening of a 33,000-ton plant in August last year. The Longyan facility now produces biodiesel using waste animal or vegetable oils sourced from within China. The Xiamen and Longyan facilities will focus on producing B1 and B2 biodiesels, which are used as substitutes for petrochemical products for industrial use. The move away from consumer to industrial users will allow the company to command a higher profit margin in markets that are not subject to local government price controls, according to the spokesperson. “China Biodiesel continues to face the challenges confronting the world’s biodiesel industry, but we are delighted to report strong progress with our further successful development in this increasingly important market,” said Chairman Huodong Ye. (June 4/6/9, 2008)