WASHINGTON — In what the agency said would be the “highest volume requirements ever” under the Renewable Fuel Standards (RFS) program, the Environmental Protection Agency (EPA) has proposed volume requirement totals for 2026 and 2027 that would be up sharply from levels the previous three years.

“We are creating a new system that benefits American farmers while mitigating the impact on gas prices and ensuring the continued existence of liquid fuels,” said EPA Administrator Lee Zeldin. “We can no longer afford to continue with the same system where Americans pay for foreign competitors.”

Proposed volume requirements for biomass-based diesel for 2026 would be 5.61 billion gallons, up 67% from 3.35 billion in 2025 and compared with 3.04 billion in 2024. For 2027, the volume requirement would be set at 5.86 billion gallons.

Industry groups had been pressing the EPA to issue standards for 2026 and for an increase to at least 5.25 billion gallons for 2026. The EPA proposal exceeded the industry groups’ request. Additionally, the EPA said imported biofuels will not be counted the same way as domestically produced biofuels.

“Historically, the RFS was a ‘one dial’ system, where the only changes to the program were increasing or decreasing volumes,” the agency said. “Today, EPA is proposing a second dial that relates to the value of a RIN (measure equivalent to one gallon of ethanol fuel) based on whether the biofuel is from domestic or foreign sources. Specifically, foreign biofuels and feedstocks are only being provided 50% of the value relative to domestic biofuels and feedstocks.”

The EPA said the proposal holds “true to Congress’ original intent” of increasing the use of homegrown American biofuels.

The National Oilseed Processors Association applauded the EPA for its proposal, including the change in the treatment of imported biofuels.

“NOPA is grateful for the support President Trump, Administrator Zeldin and (US Department of Agriculture) Secretary (Brooke) Rollins are providing to US farmers with this proposal,” said Devin Mogler, president and chief executive officer of NOPA. “We applaud the administration for recognizing the need to reduce the RIN value for biofuels made from imports of tallow and so-called ‘used cooking oil,’ which have been displacing US soybean oil — harming farmers and biofuel producers alike for years. These strong volumes and prioritization of US farmers aligns policy with actual domestic production capacity and ensures that American-grown feedstocks remain at the heart of a secure and affordable energy future.”

Similar enthusiasm was expressed by the American Soybean Association.

“The significant increase in proposed volumes for biomass-based diesel will support soybean farmers, soybean processors and biofuel producers in rural America, and serves as a much-needed win for our communities,” said Caleb Ragland, ASA president and a soybean farmer from Magnolia, Ky. “We thank the Trump administration for recognizing and supporting this vital value chain for US agriculture.”

The ASA said the proposal would jumpstart a biofuel industry largely “crippled by weak Renewable Identification Numbers credit values.”

“Additionally, EPA proposed a new concept to discount the RIN credit value for foreign finished fuel and fuels produced using foreign feedstocks,” the ASA said. “As soybean farmers struggle to maintain biofuel feedstock market share amid the rapidly growing flood of cheap, foreign feedstocks like used cooking oil, this proposal would once again give US agriculture a competitive edge in the biofuel value chain.”

The proposal would increase volume requirements for advanced biofuel to 9.02 billion RINs in 2026 and 9.46 billion for 2027, up from 7.33 billion in 2025. 

By prioritizing domestically produced renewable fuels over imports, the Renewable Fuels Association (RFA), which represents the US ethanol industry, said the EPA proposal makes good on President Trump’s commitment to US energy and agriculture.

“Today’s proposal is an important step toward achieving President Trump’s vision of lower gas prices, a stronger agriculture industry, and American energy dominance,” said Geoff Cooper, president and chief executive officer of the RFA. “The volumes proposed today provide crucial growth opportunities for US ethanol producers and farmers, while boosting the supply of lower-cost, American-made energy. We thank Administrator Lee Zeldin and his team at EPA for listening to stakeholders from agriculture and the entire fuels industry as this proposal was being crafted.”

The EPA proposed a total renewable volume obligation (RVO) of 24.02 billion gallons for 2026, including 15 billion gallons for conventional renewable fuels like corn ethanol and 9.02 billion gallons for advanced biofuels such as biomass-based diesel. For 2027, the total proposed RVO is 24.46 billion gallons, of which 15 billion gallons is conventional renewable fuel and 9.46 billion gallons is advanced biofuel.

“This proposal sends a very positive and powerful signal to US renewable fuel producers and farmers," Cooper said. "It represents an excellent starting point for the 2026 and 2027 RVO discussion. We look forward to providing more feedback to EPA on the proposed volumes during the public comment period, and we’ll continue to underscore the vital importance of a strong RFS to America’s rural communities.”

The National Corn Growers Association (NCGA) expressed support for the new requirements as well.

“We are thankful to President Trump and Administrator Zeldin that the EPA has released these robust RVO numbers in a timely manner,” said Kenneth Hartman Jr., president of the NCGA. “This action provides a significant certainty to corn farmers across the country who rely on a stable biofuels industry.”