In a rare show of unity, U.S. oil and biofuel industry groups have joined forces to urge the Trump administration to increase biofuel blending mandates for 2026 and beyond. The unusual collaboration, outlined in a letter seen by Reuters, highlights a shared interest in promoting liquid fuels amid growing competition from electric vehicles (EVs).
The letter, addressed to new Environmental Protection Agency (EPA) Administrator Lee Zeldin, was signed by major industry players, including the American Petroleum Institute (API), the Renewable Fuels Association, and Growth Energy. The groups emphasized the importance of strong, consistent biofuel volumes to reflect ongoing investments in feedstock and production capacity.
The Renewable Fuel Standard (RFS) program, which requires refiners to blend billions of gallons of biofuels into the nation’s fuel supply, has long been a point of contention between the oil and biofuel industries. However, both sectors now face a common threat from the rapid rise of EVs, which could reduce demand for all liquid fuels.
President Donald Trump recently revoked a Biden-era executive order mandating that 50% of new vehicles sold by 2030 be electric, a move that aligns with the oil and biofuel industries’ goals. The groups argued that increasing biofuel blending volumes would ensure consumer choice and support the liquid fuel economy.
The letter also called on the EPA to establish multi-year RFS standards to provide market certainty for refiners and biofuel producers. Currently, the EPA has set renewable volume obligations (RVOs) at 20.94 billion gallons for 2023, 21.54 billion gallons for 2024, and 22.33 billion gallons for 2025. The administration is expected to begin deliberations on 2026 volumes soon.
Notably absent from the letter was the American Fuel and Petrochemical Manufacturers, another key oil industry group that typically engages in RFS-related discussions.