The United States Department of Agriculture says China's food security objectives may clash with its energy independence and environmental objectives, limiting the development of biofuels, according to the latest publication by the US International Trade Commission.
The study, titled China's Agricultural Trade: Competitive Conditions and Effects on US Exports says the development of China's biofuels industry affects China's agricultural production mix as it diverts output away from human and animal consumption into use as a fuel and contributes to increased imports of feedstock sources. China is the world's second largest corn-producing country, using the grain primarily for animal feed, and ethanol production and prior to 2010, it imported very little corn.