The transesterification of palm oil and mixed dimethyl/diethyl carbonate (DMC/DEC) was investigated to produce glycerol-free biodiesel with improved cold flow performance. The potassium hydroxide (KOH) was used as the cheap heterogeneous catalyst. The biodiesel yield could reach 90.8% and the molar ratio of FAMEs/FAEEs was fixed as 2: 1 over the following optimal reaction conditions: Molar ratio of DMC/DEC was 1: 1, molar ratio of mixed DMC/DEC and oil was 14: 1, KOH amount was 15 wt% ( based on the oil), reaction temperature was 100 degrees C and reaction time was 20 h. The biodiesel had a cold filter plugging point of 3 degrees C and a solidifying point of -2 degrees C, which met the cold flow requirements of commercial 0# diesel in China. Finally, the cold flow properties of biodiesel/diesel blends were carefully characterized. Interestingly, due the formation of eutectic mixtures between n-alkanes in diesel and saturated esters in biodiesel, the cold flow performance of diesel could be significantly improved by adding no more than 30 v% of biodiesel.