Indonesia intends to halt diesel imports in the second half of 2026 once its 50% biodiesel blend (B50) enters full use, according to Energy and Mineral Resources Minister Bahlil Lahadalia. The country is finishing the final phase of B50 road testing, covering ships, trains, heavy equipment, and other engines after earlier laboratory trials.
The B50 initiative builds on the B40 mandate that already saved roughly 9.3 billion U.S. dollars in foreign exchange and delivered 64.7% of the 2025 volume target by midyear. Officials view the higher blend as a route to greater energy independence while maintaining the palm oil value chain at home.