The Malaysian government aims to introduce B15 biofuel from Jun 1. B15 is a diesel fuel blended with 15% palm oil-derived methyl ester, while 10% blending (B10) is currently mandatory. The government intends to promptly achieve B12 adoption, and mandate a 15% blending ratio starting Jun 1. The reason for accelerating the increase in the blending ratio of bio-components is attributed to the persistent high prices of gasoil due to the Middle East conflict that has been ongoing since late February. To stabilize the lives of its citizens, the country will utilize domestically produced palm oil in an efficient way. Malaysia is the world's second-largest producer of palm oil.

In addition, Malaysia has adopted a fuel subsidy system, and expenditures for subsidies have rapidly expanded, pressuring the national finances. B15 is reportedly produced at 19 government-approved factories.

Early introduction of B20 is also under consideration, and government officials suggest that B50 introduction may be possible within a few years. Malaysia's annual palm oil production is 20 million mt, of which 1.3 million mt is for biofuel. It is estimated that if B15 becomes widespread, an additional 400,000 mt will be allocated for biofuel.