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Mexico’s ASA to play key role in SAF expansion

  • Spanish Market: Biofuels, Oil products
  • 10/06/25

State-owned Airports and Auxiliary Services (ASA) will take a central role in developing Mexico's still nascent sustainable aviation fuel (SAF) market, with fuel availability becoming one of its top priorities, officials said today.

ASA remains the country's main jet fuel supplier, serving 52 airports and covering over 90pc of the domestic market, infrastructure, communications and transportation minister Jesus Esteva said.

Speaking at an event marking ASA's 60th anniversary, Esteva said the implementation of SAF is "one of the biggest challenges" the government faces in the aviation sector, and that ASA must lead efforts to expand supply.

"ASA aims to boost the use of clean energy, leading the sustainable transition for Mexico's aviation sector through the development and ongoing implementation of SAF," said ASA director Carlos Merino. The initiative seeks to reduce aviation's carbon footprint while maintaining service quality and efficiency, he added.

ASA announced last year the launch of a pilot project to blend imported SAF with conventional jet fuel, with a long-term goal of producing SAF entirely in Mexico by 2030. For now, imports — most likely from the US — remain necessary.

Mexico is participating in the International Civil Aviation Organization's (ICAO) Corsia scheme, which aims to reduce greenhouse gas emissions from international flights. Corsia includes a voluntary phase from 2024-2026, followed by mandatory targets from 2027-2035.

Under the scheme, airlines must either use SAF or offset emissions by purchasing carbon credits, with exemptions for underdeveloped countries and those with minimal global air traffic.

Sustainability will become increasingly important as Mexico's aviation sector grows, said Miguel Vallin, head of the federal civil aviation agency AFAC. Passenger traffic is projected to rise from 124mn in 2025 to 151mn in 2030 — an average annual increase of 3.3pc.

ASA operates 52 jet fuel storage terminals across Mexico, with annual sales of around 5.4bn l (93,000 b/d), Esteva said.

The government holds a monopoly over Mexico's jet fuel market, with ASA and state-owned Pemex supplying most of the market, with indirect participation of other companies.

Jet fuel was the last oil product market opened to more competition in Mexico after constitutional changes in 2014, but progress stalled under the administration of former president Andres Manuel Lopez Obrador. Under President Claudia Sheinbaum, the government has kept the jet fuel market under close state oversight.


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14/07/25

Wizz Air to end Middle East operations from 1 September

Wizz Air to end Middle East operations from 1 September

Dubai, 14 July (Argus) — Hungarian low-cost airline Wizz Air said today it is halting all operations in the Middle East, effective 1 September. This is part of a "strategic realignment" of operations following "a comprehensive reassessment of market dynamics, operational challenges and geopolitical developments in the Middle East", the airline's subsidiary Wizz Air Abu Dhabi said via the X social media platform. Wizz Air Abu Dhabi faced operational challenges over the past year, including engine reliability constraints particularly in hot and harsh environments, which have affected aircraft availability and operational efficiency. It also noted geopolitical volatility, which has led to repeated airspace closures and operational disruptions, and wrecked consumer demand. Wizz Air also said regulatory barriers have limited its ability to access and scale in key regional markets. The airline said it intends to exit from the joint venture with state-owned Abu Dhabi Developmental Holding Company (ADQ). ADQ holds a 51pc stake in the venture, while Wizz Air holds the remaining 49pc. Wizz Air said it will turn its focus back on its core Central and Eastern Europe, as well as select western European markets such as Austria, Italy and the UK. Wizz Air Abu Dhabi began operations in early 2021 , after receiving its air operator certificate from the UAE's General Civil Aviation Authority in October 2020 . By Ieva Paldaviciute Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Trump threatens Mexico, EU with 30pc tariffs


12/07/25
12/07/25

Trump threatens Mexico, EU with 30pc tariffs

Washington, 12 July (Argus) — President Donald Trump on Saturday said the US will impose 30pc tariffs on goods imported from Mexico and the EU beginning on 1 August. In a move that could significantly disrupt crude, refined product and other commodity flows, Trump made public on his social media platform letters sent to Mexican president Claudia Sheinbaum and European Commission president Ursula von der Leyen on Friday threatening the new tariffs. Trump also vowed to raise the tariffs even higher if Mexico or the EU were to retaliate with their own measures. The threats follow similar letters sent to leaders of other countries this past week, including a 35pc tariff on Canadian imports , likewise starting on 1 August, and a 50pc tariff on Brazilian imports . In his letter to Sheinbaum, Trump repeated previous justifications for higher tariffs by pointing to "Mexico's failure to stop the Cartels" smuggling fentanyl into the US. "Mexico has been helping me secure the border, BUT, what Mexico has done is not enough," Trump wrote. "If for any reason you decide to raise your Tariffs, then whatever the number you choose to raise them by, will be added onto the 30pc that we charge," Trump wrote to Sheinbaum. His letter to von der Leyen included similar language. Trump's previous executive orders regarding tariffs on Mexico and Canada carved out exemptions for goods compliant with the US-Mexico-Canada free trade agreement. A White House official on Friday, following Trump's 10 July Canadian tariff announcement, said the exemption will remain in place, with a caveat that Trump has yet to determine the final form of application. Regarding the EU, Trump argued the 30pc figure "is far less than what is needed to eliminate the Trade Deficit disparity we have with the EU". Mexico's ministries of the economy, foreign affairs, finance, security and energy said in a statement Saturday that they met with their US counterparts on Friday to begin negotiations to head off the new tariffs before 1 August. "We stated at the meeting that [the new tariff plan] was unfair treatment and that we disagreed." After receipt of the new tariff letter, von der Leyen said Trump's tariffs "would disrupt essential transatlantic supply chains, to the detriment of businesses, consumers and patients on both sides of the Atlantic". The US has clinched only one limited trade deal, which keeps in place a 10pc tariff on US imports from the UK while granting a lower-tariff import quota for UK-made cars. Trump has announced a deal with Vietnam, setting tariffs at 20pc. By David Ivanovich Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

US to loan 1mn bls crude to Louisiana refinery: Update


11/07/25
11/07/25

US to loan 1mn bls crude to Louisiana refinery: Update

Adds details on crude quality issues from Mars pipeline. Washington, 11 July (Argus) — ExxonMobil will borrow up to 1mn bl of crude from the US Strategic Petroleum Reserve (SPR) for its 522,500 b/d refinery in Baton Rouge, Louisiana, in response to a disruption to offshore supply of crude for the facility. ExxonMobil warned suppliers last week of "serious quality issues" related to elevated levels of zinc in crude supplied by the Mars pipeline, which brings crude from a series of deepwater fields in the Gulf of Mexico to shore, according to market sources. In letters to suppliers ExxonMobil said the crude quality issues were "... significantly affecting the operations at our Baton Rouge Refinery," and that it would stop accepting Mars crude "... in an effort to avoid further damages." The US Department of Energy said today it had approved the loan to ExxonMobil, called an exchange, to ensure a stable supply of transportation fuels in Louisiana and the US Gulf coast. The agency said the crude loan will support ExxonMobil's "restoration of refinery operations that were reduced due to an offshore supply disruption." Chevron, one of the producers that contributes crude to the Mars pipeline, said it has "identified a potential contributing source to the Mars crude composition changes, which is associated with the start-up of a new well." Chevron said it was working to resolve the matter and does not expect it to affect current production guidance. In April Chevron started production from a new deepwater field , Ballymore, which ties into the Mars system. Shell, which owns a majority stake in the Mars pipeline, did not respond to a request for comment. Mars premium to WTI falls The August Mars premium to Nymex-quality WTI has dropped nearly $1/bl in the last week. The August Argus Mars volume-weighted average assessment on Thursday was a 9¢/bl premium to the Nymex-quality WTI Cushing benchmark, nearly $1/bl lower than a week earlier. Mars averaged a 63¢/bl premium for the August trade month through Thursday, but was at a $1.40-$1.50/bl premium at the start of the trade month. The August trade month started 26 June and ends 25 July. The SPR, which consists of four underground storage sites in Texas and Louisiana, held 403mn bl of crude as of 4 July. Under the exchange announced today ExxonMobil will eventually return the borrowed crude — along with additional crude as payment for the loan — to the SPR. The SPR's Bayou Choctaw site connects to refineries in Baton Rouge through the Capline pipeline. In 2021, the Department of Energy authorized a loan of up to 3mn bl from the SPR to ExxonMobil's refinery in Baton Rouge to address disruptions related to Hurricane Ida. ExxonMobil was initially scheduled to return the crude in 2022, but that deadline has been repeatedly pushed back, most recently to require a return of the crude by March 2026. By Chris Knight, Eunice Bridges and Amanda Smith Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Congress resumes push to cut US shipping pollution


11/07/25
11/07/25

Congress resumes push to cut US shipping pollution

New York, 11 July (Argus) — US lawmakers reintroduced two bills Thursday to slash greenhouse gas emissions from the shipping industry. Senators Sheldon Whitehouse (D-Rhode Island) and Alex Padilla (D-California), along with US House of Representatives members Doris Matsui (D-California) and Kevin Mullin (D-California), reintroduced the International Maritime Pollution Accountability Act, which would impose pollution fees on large ships calling at US ports. The bill targets vessels over 5,000 gross tonnes with a $150/t fee on carbon, plus fees on nitrogen oxides at $6.30/lb, sulfur dioxide at $18/lb, and fine particulate matter at $38.90/lb. Ship operators would only pay the carbon fee if no equivalent global measure from the International Maritime Organization (IMO) is in place. Revenue would go toward modernizing the Jones Act fleet with low-emission ships, electrifying shipbuilding, and addressing pollution at US ports. The group also reintroduced the Clean Shipping Act of 2025, led in the House by Representatives Robert Garcia (D-California). It directs the Environmental Protection Agency to impose carbon intensity standards for marine fuels, targeting 30pc lifecycle CO2-equivalent emissions reduction from 2030, 58pc from 2034, 83pc from 2040, and 100pc from 2050. It also requires all ships at berth or anchor in US ports to emit zero emissions by 2035. The lawmakers say the proposed bills also close a major loophole. Marine shipping is largely exempt from fuel taxes unlike other transport sectors. They say the plan will also support US manufacturing and help reduce the US trade deficit. The International Maritime Pollution Accountability Act is endorsed by environmental and advocacy groups including Friends of the Earth, Sierra Club and Ocean Conservancy, among others. The original bills were introduced in 2023 and expired without being enacted. The bills follow the IMO's decision in April to adopt a net-zero framework and a global carbon price proposal for shipping. The US delegation was absent from IMO's April meeting, issuing a statement that "President Trump has made it clear that the US will not accept any international environmental agreement that unduly or unfairly burdens the US or the interests of the American people ." By Stefka Wechsler Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

USDA boosts soy view on biofuel policy changes


11/07/25
11/07/25

USDA boosts soy view on biofuel policy changes

St Louis, 11 July (Argus) — The US Department of Agriculture (USDA) today raised its projected US soybean crush for the 2025-26 marketing year following recent policy changes that are expected to increase domestic soybean oil demand for biofuel production. US soybean crush is expected to rise to a record 69.1mn metric tonnes (t) in the 2025-26 marketing year, the USDA said Friday in its monthly World Agricultural Supply and Demand Estimates (Wasde) report, up by 1.36mn t from the June report. The latest forecast marks a 5pc increase from volume projected for the 2024-25 marketing year. The higher outlook for soybean crush was driven by a substantial increase in anticipated soybean oil use for biofuel production, which the USDA places at 7.03mn t for the marketing year ahead, up by 27pc from the volume expected for the current marketing year. The increased biofuel use outlook follows US policy changes that significantly strengthen support for biofuels made from domestically produced feedstocks through changes to the 45Z biofuels tax credit and Renewable Identification Number credits generated through the Renewable Fuel Standard. The US is also proposing to require record biofuel blending into the US fuel supply over the next two years, including unexpectedly strong quotas for biomass-based diesel. With the increase in soybean crush, USDA expects domestic soybean oil production will rise to a record 13.6mn t in 2025-26, up by 4.1pc from the current marketing year. Additionally, the USDA revised higher its expectation for soybean oil imports in 2025-26 to 200,000t, up by 13pc from the current marketing year. Following an elevated export rate over the first half of the current marketing year, US soybean oil exports are projected to collapse in 2025-26, down by 73pc from the current marketing year to 318,000t. The reduction in exports, in combination with increased supply, is projected to exceed the gains in biofuel demand, increasing stocks to 758,000t by the end of the 2025-26 marketing year, up by 15pc from the inventory level projected for the end of 2024-25. Soybean meal supplies swell The jump in soybean oil demand is as also expected to result in a record level of US soybean meal production in 2025-26, up 4.5pc from 2024-25 to 54.3mn t, according to USDA. Both domestic use and exports of soybean meal are projected higher for the next marketing year following the increased supply outlook. US soybean meal exports are projected to reach 17mn t, up 7.5pc from 2024-25, while US soybean meal domestic use is projected to rise by 2.8pc to 37.9mn t. Soybean mean stocks are projected to increase as well, reaching 431,000t by the end of 2025-26, up 5.6pc from the level projected for the end of the 2024-25 marketing year. By Ryan Koory July 2025 USDA projections 2025-26 Chg from Jun 2024-25 Chg from Prior MY U.S. soybean oil supply and use ( mn t ) Supply -Beginning stocks 0.66 - 0.70 - -Production 13.59 0.27 13.06 - --Extraction ratio (pc) 19.67 0.00 19.83 - -Imports 0.20 0.07 0.18 -0.05 Total supply 14.46 0.34 13.95 -0.05 Use -Domestic disappearance 13.38 0.73 12.11 -0.14 --Biofuel 7.03 0.73 5.56 -0.39 --Food, feed and other Industrial 6.35 - 6.55 0.25 -Exports 0.32 -0.45 1.18 0.09 Total use 13.70 0.27 13.29 -0.05 -Ending stocks 0.76 0.06 0.66 - -Stocks-to-use (pc) 5.53 0.36 4.95 0.02 U.S. soybean meal supply and use ( mn t ) Supply -Beginning stocks 0.41 - 0.41 - -Production 54.30 1.04 51.98 - --Extraction ratio (pc) 78.54 -0.04 78.92 - -Imports 0.59 - 0.66 0.09 Total supply 55.29 1.04 53.05 0.09 Use -Domestic disappearance 37.90 0.41 36.85 0.09 -Exports 16.96 0.64 15.79 - Total use 54.86 1.04 52.64 0.09 -Ending stocks 0.43 - 0.41 - -Stocks-to-use (pc) 0.79 -0.02 0.78 -0.00 October-September markeing year — USDA, Argus Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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