Study: Biodiesel, Renewable Diesel Industries Contributes $42.4 Billion to US Economy
A new study from Clean Fuels Alliance America shows the U.S. biomass-based diesel industry generated $42.4 billion in economic activity in 2024, supported 107,400 jobs and paid $6 billion in annual wages.
According to the report, nearly half of the total economic impact—$19.9 billion and 41,500 jobs—came from fuel production, while oilseed production supported 30,600 jobs and generated $15.3 billion in economic activity, delivering major benefits to soybean-growing states. Significant employment was also reported in oilseed processing (8,600 jobs) and rendering (12,700 jobs).
The study, “Economic Impact of Biodiesel on the U.S. Economy 2024,” was conducted by GlobalData using actual 2024 data, including 5 billion gallons of domestic production. It evaluates direct, indirect and induced economic impacts and jobs across the entire value chain, from raw-material production, collection and processing to fuel production and distribution.
“The numbers don’t lie; 2024 was a record-setting year for clean fuels, and the benefits reached deep into rural America,” said Donnell Rehagen, CEO of Clean Fuels. “This study proves that biodiesel and renewable diesel not only lower carbon emissions but deliver real income and jobs, especially for soybean producers and the broader agricultural economy.”
Looking ahead, the industry’s continued growth could bring even greater returns to farmers, feedstock producers and fuel producers. The study also analyzes a near-future capacity scenario of 7.4 billion gallons, based on publicly announced investments in new or expanded facilities. At that level, the industry could support 145,700 jobs and contribute $60.25 billion annually to the U.S. economy, according to GlobalData.
Although Indiana only has one biodiesel production facility—Louis Dreyfus Corp. near Claypool in Kosciusko County—it is the largest U.S. biodiesel biorefinery. According to the Indiana Soybean Alliance, this plant sustains 820 jobs and $134 million in economic activity. Louis Dreyfus also uses more than 300 million pounds of soybean oil to produce nearly 100 million gallons of biodiesel from Hoosier soybean fields.
The full report is available at CleanFuels.org.
Source: Clean Fuels America Alliance