of title 40, Code of Federal Regulations. . (3) Rules for small biodiesel producers (A) In general Section 40A(e) of such Code is amended— (i) by striking agri-biodiesel each place it appears in paragraphs (1) and (5)(A) and inserting biodiesel , (ii) by striking subsection (b)(4)(C) each place it appears in paragraphs (2) and (3) and inserting subsection (b)(2) , and (iii) by striking subsection (a)(3) each place it appears in paragraphs (5)(A), (6)(A)(i), and (6)(B)(i) and inserting subsection (b) . (B) The heading for subsection (e) of section 40A of such Code is amended by striking agri-biodiesel and inserting biodiesel . (C) The headings for paragraphs (1) and (6) of section 40A(e) of such Code are each amended by striking agri-biodiesel and inserting biodiesel . (4) Renewable diesel (A) In general Paragraph (3) of section 40A(f) of such Code is amended to read as follows: (3) Renewable diesel defined (A) In general The term renewable diesel means liquid fuel derived from biomass which— (i) is not a mono-alkyl ester, (ii) can be used in engines designed to operate on conventional diesel fuel, and (iii) meets the requirements for any Grade No. 1–D fuel or Grade No. 2–D fuel covered under the American Society for Testing and Materials specification D–975–13a. (B) Exceptions Such term shall not include— (i) any liquid with respect to which a credit may be determined under section 40, (ii) any fuel derived from coprocessing biomass with a feedstock which is not biomass, or (iii) any fuel that is not chemically equivalent to petroleum diesel fuels that can meet fuel quality specifications applicable to diesel fuel, gasoline, or aviation fuel. (C) Biomass For purposes of this paragraph, the term biomass has the meaning given such term by section 45K(c)(3). . (B) Conforming amendments Section 40A(f) of such Code is amended— (i) by striking Subsection (b)(4) in paragraph (2) and inserting Subsection (b) , and (ii) by striking paragraph (4) and inserting the following: (4) Certain aviation fuel Except as provided