Malaysian palm oil futures hovered near MYR 4,500 per tonne, reversing losses from the previous three sessions. The rebound followed reports that top producer Indonesia may regulate crude palm oil exports to secure domestic biodiesel supply. Indonesia plans to roll out B50 biodiesel in 2026 and start to launch 10% bioethanol in gasoline to curb emissions and reduce fuel imports. Meanwhile, Malaysia’s palm oil output fell 0.73% in September to 1.84 million tonnes, the first decline in three months, according to the Malaysia Palm Oil Board. However, further gains were tempered by a stronger ringgit. Concerns over U.S.-China trade tensions also weighed after Trade Representative Jamieson Greer said a Trump-Xi meeting later this month remains unconfirmed, with possible U.S. restrictions on cooking oil amid Trump’s accusations that China deliberately cut U.S. soybean imports, raising fears of weaker Chinese demand for palm oil as a substitute.
