Sep 05, 2025
Use of Beef Tallow for Biodiesel to Expand in Brazil
Author: Michael Cordonnier/Soybean & Corn Advisor, Inc.
Beef tallow consumption for biodiesel production is expected to expand in Brazil offsetting a drop in U.S. import demand after imposing tariffs on Brazilian beef and its by-products. Reuters reported that Brazilian beef exports increased from January to July thanks to strong demand from the US. With 290.8 thousand tons shipped in the period, Brazil had already sold almost 91% of the total exported in 2024.
According to Scot Consultoria, the U.S. accounted for 91% of the beef tallow exported during that period. But now, an import tariff of 50% on certain products moving into the U.S. will make Brazilian beef tallow sales prohibitive in that market according to the president of the Brazilian Association of Vegetable Oil Industries (Abiove).
Brazilian beef tallow exports to the U.S. increased after a sharp drop in the U.S. cattle herds, which reduced local production and directed demand to Brazilian suppliers. The current tariffs are virtually an embargo on beef exports and by-products. With the application of the new tariff, Brazilian exporters may start shipping product to neighboring countries and then re-exporting to the U.S.
Increased Brazilian demand from biodiesel companies can partially mitigate the impact of reduced exports. Soybean oil represents approximately 75% of the raw product used to produce biodiesel in Brazil.