LiAlO2 catalyst was prepared by solid-state reaction and then applied to the biodiesel production by transesterification reaction between methanol and soybean oil. This was the first attempt to use LiAIO(2) as a catalyst for biodiesel production. It was found that the catalyst of 4 (mol(Li2CO3)/mol(Al2O3)) being calcined at 900 degrees C showed the optimum activity. XRD, BET and FE-SEM demonstrated that the Li compound was incorporated into Al2O3 to form LiAlO2 with an enhanced basicity. The maximum conversion achieved 97.5% with 2 h reaction time at 65 degrees C, 24:1 M ratio of methanol to oil and 8 wt.% of catalyst. LiAlO2 could be easily recovered and reused for six cycles without significant deactivation. (C) 2015 Elsevier B.V. All rights reserved.