Global Sustainable Aviation Fuel Market Overview
Sustainable Aviation Fuel Market was valued at US$ 1.1 Billion in 2024 and is projected to grow at a CAGR of 11.60% to reach US$ 3.0 Billion by 2034.
Sustainable aviation fuels are produced by taking a feedstock and converting it into fuel by an industrial process. A range of various potential feedstocks identified and currently processing waste oils, fats and greases and there are other advanced feedstock’s such as algae or other non-food feedstock under development. Other projects under development are supported by waste sources such as municipal solid waste, used vegetable oil and waste industrial gases. More sophisticated processing technologies necessary for the manufacturing of aviation fuels will widen the amount of available feedstock types and lots of those are low-grade, low-value materials.
The aviation industry is keen on bringing down the carbon footprints to realize a sustainable environment and meet the stringent regulatory standards on emissions. The choice solutions, like improving aero-engine efficiency intentionally modifications, hybrid-electric and all-electric aircraft, renewable jet fuels, etc., are being adopted by various stakeholders of the aviation industry. However, out of those solutions, adoption of sustainable aviation fuels like e-fuels, synthetic fuels, green jet fuels, hydrogen fuels is one among the foremost feasible alternative solutions with reference to socio and economic benefits in comparison to others, which contributes significantly to mitigating current and expected future environmental impacts of aviation.
Impact of Covid-19 pandemic on market
With the outbreak of the COVID-19, various businesses are at the forefront to combat this pandemic. Air travel restrictions across various regions for both domestic and international flights have led to inactive fleets across the globe. Like many other sectors, the sustainable aviation fuel market is also disproportionately impacted by the COVID-19 pandemic due to delays in the production activities across various industries. For instance, by mid-September, US passenger volume had yet to crack 1 million – a mark that would be roughly 40% of year-ago levels – since the low of 87,534 on April 14, which was just 4% of the previous year, according to the Bureau of Transportation Statistics. BTS data also showed the 23 major US passenger airlines had a combined first-half loss – of $16.2 billion – for the first time in 11 years, likely to grow into a record yearly loss.
Disclaimer: This data is only a representation. Actual data may vary and will be available in the report.
Global Sustainable Aviation Fuel Market Dynamics
Increasing need for reduction in GHG emissions in aviation industry
Sustainable aviation fuels are a key component in meeting the aviation industry’s commitments to decouple increases in carbon emissions from traffic growth. SAF gives a powerful reduction of up to 80% in CO2 emissions over the lifecycle of the fuel compared to fossil jet fuel, counting on the sustainable feedstock used, production method, and therefore the supply chain to the airport. As per IATA fact sheet, SAF is going to be an eligible option for aircraft operators to satisfy their obligations under the Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA).
Rising initiatives by government bodies
Aviation is one of the fastest-growing sources of greenhouse gas emissions globally and currently it contributes to 2% of overall anthropogenic Greenhouse Gas (GHG) Emission (Intergovernmental Panel on Climate Change (IPCC), 2004). The International Civil Aviation Organization’s (ICAO) 2016 Environmental Report (On Board A Sustainable Future) states that changes to the atmosphere, brought about by rising global temperatures caused by greenhouse gas emissions, will affect airplane’s ability to fly, while rising sea levels will affect airports. The Ministry of Civil Aviation, Government of India is committed to inclusive and sustainable growth of the civil aviation sector in the country while mitigating its negative impacts on environment at the same time. This strategic framework by the government and stakeholders addressed the major environmental challenges of the aviation industry. It comprehends the key environmental issues of the sector and emphasizes the Government’s approach towards environment protection. However, inadequate availability of feedstock and refineries to meet SAF production demand might be hamper the targeted market.
Global Sustainable Aviation Fuel Market Segmentation
The sustainable aviation fuel market is segmented based on fuel type, manufacturing technology, bio-fuel blending capacity, platform and region.
On the basis of fuel type, the global sustainable aviation fuel market is segmented into biofuel, hydrogen fuel, and power to liquid fuel. Based on manufacturing technology, the target market is segmented into hydroprocessed fatty acid esters and fatty acids - synthetic paraffinic kerosene (HEFA-SPK), fischer tropsch synthetic paraffinic kerosene (FT-SPK), and synthetic iso-paraffin from fermented hydroprocessed sugar (HFS-SIP). On the basis of bio-fuel blended capacity, the target market is segmented into below 30%, 30% to 50%, and above 50%. Based on platform the target market is segmented into commercial aviation, military aviation, business & general aviation, and unmanned aerial vehicle.
Regional Insights:
On region the sustainable aviation fuel market is segmented into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa. North America is predicted to grow at the very best CAGR during the forecast period. To cater to the necessity for of reduction in carbon footprints because of increasing traffic and air passengers, the countries like the US and Canada in North America are focused on various initiatives to utilize the renewable aviation fuel. With supportive policies and initiatives to decarbonize aviation emissions, the North American market is deemed to be one among the strong demand centres for sustainable aviation fuel. The number of sustainable aviation fuel initiatives taken by countries within the region like the US and Canada is Commercial Aviation Alternative Fuel Initiative (CAAFI), Midwest Aviation Sustainable Biofuels Initiative (MASBI), and Canada’s Biojet Supply Chain Initiative, among others.
Report scope:
|
Attribute |
Details |
|
Market Size 2024 |
US$ 1.1 billion |
|
Projected Market Size 2034 |
US$ 3.0 billion |
|
CAGR Growth Rate |
11.60% |
|
Base year for estimation |
2023 |
|
Forecast period |
2024 – 2034 |
|
Market representation |
Revenue in USD Million & CAGR from 2024 to 2034 |
|
Market Segmentation |
By Fuel Type - Biofuel, Hydrogen Fuel, and Power to Liquid Fuel By Manufacturing Technology - Hydroprocessed Fatty Acid Esters and Fatty Acids - Synthetic Paraffinic Kerosene (HEFA-SPK), Fischer Tropsch Synthetic Paraffinic Kerosene (FT-SPK), and Synthetic Iso-paraffin from Fermented Hydroprocessed Sugar (HFS-SIP) By Bio-fuels Blended Capacity - Below 30%, 30% to 50%, and Above 50% By Platform - Commercial Aviation, Military Aviation, Business & General Aviation, and Unmanned Aerial Vehicle |
|
Regional scope |
North America - U.S., Canada Europe - UK, Germany, Spain, France, Italy, Russia, Rest of Europe Asia Pacific - Japan, India, China, South Korea, Australia, Rest of Asia-Pacific Latin America - Brazil, Mexico, Argentina, Rest of Latin America Middle East & Africa - South Africa, Saudi Arabia, UAE, Rest of Middle East & Africa |
|
Report coverage |
Revenue forecast, company share, competitive landscape, growth factors, and trends |
Segments Covered in the Report:
This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends and opportunities in each of the sub-segments from 2019 to 2029. For the purpose of this study, has segmented the global sustainable aviation fuels market report based on fuel type, manufacturing technology, bio-fuels blended capacity, Platforms and region.
Sustainable Aviation Fuel Market, By Region:
- North America
- Middle East & Africa
-
- GCC
- Israel
- South Africa
- Rest of Middle East & Africa
-
- Latin America
-
- Brazil
- Mexico
- Rest of Latin America
-
- Asia Pacific
-
- China
- India
- Japan
- South Korea
- Rest of Asia Pacific
-
- Europe
-
- Germany
- UK
- France
- Russia
- Italy
- Rest of Europe
-
-
- U.S.
- Canada
- Middle East & Africa
Global Sustainable Aviation Fuel Market Key Players
The key players operating in the sustainable aviation fuel market includes Neste, Gevo, World Energy, Eni, Fulcrum BioEnergy, SkyNRG, Velocys, Red Rock Biofuels, S.G. Preston Company, HyPoint Inc., and ZeroAvia, Inc. Companies are continuously raising the production and supply of sustainable aviation fuel. For instance, In August 2020, S&P Global Platts ("Platts"), the leading independent provider of information and benchmark prices for the commodities and energy markets, announced the launch of the first-to-market Sustainable Aviation Fuel (SAF) price assessment in Europe to bring additional transparency as the industry embraces energy transition.
Global Sustainable Aviation Fuel Market Company Profile
- Neste
- Company Overview
- Product Portfolio
- Key Highlights
- Financial Performance
- Business Strategies
- Gevo
- World Energy
- Eni
- Fulcrum BioEnergy
- SkyNRG
- Velocys
- Red Rock Biofuels
- S.G. Preston Company
- HyPoint Inc.
- ZeroAvia Inc.
Global Sustainable Aviation Fuel Market Table of Contents
- Research Objective and Assumption
- Preface
- Research Objectives
- Study Scope
- Years Considered for the study
- Assumptions
- Abbreviations
- Research Methodology
- Research data
- Primary Data
- Primary Interviews
- Primary Breakdown
- Key data from Primary Sources
- Key Thickness Insights
- Secondary Data
- Major Secondary Sources
- Secondary Sources
- Market Estimation
- Top-Down Approach
- Approach for estimating Market Share by Top-Down Analysis (Supply Side)
- Bottom-Up Approach
- Approach for estimating market share by Bottom-up Analysis (Demand Side)
- Market Breakdown and Data Triangulation
- Research Assumptions
- Market Preview
- Executive Summary
- Key Findings—Global Outlook for medical carts Strategies
- Key Questions this Study will Answer
- Market Snippet, By Fuel Type
- Market Snippet, By Biofuel Manufacturing Technology
- Market Snippet, By Biofuel Blending Capacity
- Market Snippet, By Platform
- Market Snippet, By Region
- Opportunity Map Analysis
- Executive Summary—3 Big Predictions
- Market Dynamics, Regulations, and Trends Analysis
- Market Dynamics
- Drivers
- Restrains
- Market Opportunities
- Market Trends
- DR Impact Analysis
- PEST Analysis
- Porter’s Five Forces Analysis
- Opportunity Orbit
- Market Investment Feasibility Index
- Macroeconomic Factor Analysis
- Market Dynamics
- Sustainable Aviation Fuel Market, By Fuel Type, Forecast Period up to 10 Years, (US$ Bn)
- Overview
- Market Value and Forecast (US$ Bn), and Share Analysis (%), Forecast Period up to 10 Years
- Y-o-Y Growth Analysis (%), Forecast Period up to 10 Years
- Segment Trends
- Biofuel
- Overview
- Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), Forecast Period up to 10 Years
- Hydrogen Fuel
- Overview
- Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), Forecast Period up to 10 Years
- Power to Liquid Fuel
- Overview
- Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), Forecast Period up to 10 Years
- Sustainable Aviation Fuel Market, By Biofuel Manufacturing Technology , Forecast Period up to 10 Years, (US$ Bn)
- Overview
- Market Value and Forecast (US$ Bn), and Share Analysis (%), Forecast Period up to 10 Years
- Y-o-Y Growth Analysis (%), Forecast Period up to 10 Years
- Segment Trends
- Hydroprocessed Fatty Acid Esters
- Overview
- Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), Forecast Period up to 10 Years
- Fatty Acids - Synthetic Paraffinic Kerosene (HEFA-SPK)
- Overview
- Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), Forecast Period up to 10 Years
- Fischer Tropsch Synthetic Paraffinic Kerosene (FT-SPK)
- Overview
- Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), Forecast Period up to 10 Years
- Synthetic Iso-paraffin from Fermented Hydroprocessed Sugar (HFS-SIP)
- Overview
- Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), Forecast Period up to 10 Years
- Sustainable Aviation Fuel Market, By Biofuel Blending Capacity , Forecast Period up to 10 Years, (US$ Bn)
- Overview
- Market Value and Forecast (US$ Bn), and Share Analysis (%), Forecast Period up to 10 Years
- Y-o-Y Growth Analysis (%), Forecast Period up to 10 Years
- Segment Trends
- Below 30%
- Overview
- Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), Forecast Period up to 10 Years
- 30% to 50%
- Overview
- Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), Forecast Period up to 10 Years
- Above 50%
- Overview
- Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), Forecast Period up to 10 Years
- Sustainable Aviation Fuel Market, By Platform , Forecast Period up to 10 Years, (US$ Bn)
- Overview
- Market Value and Forecast (US$ Bn), and Share Analysis (%), Forecast Period up to 10 Years
- Y-o-Y Growth Analysis (%), Forecast Period up to 10 Years
- Segment Trends
- Commercial Aviation
- Overview
- Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), Forecast Period up to 10 Years
- Military Aviation
- Overview
- Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), Forecast Period up to 10 Years
- Business & General Aviation
- Overview
- Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), Forecast Period up to 10 Years
- Unmanned Aerial Vehicle
- Overview
- Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), Forecast Period up to 10 Years
- Sustainable Aviation Fuel Market, By Region, Forecast Period up to 10 Years, (US$ Bn)
- Overview
- Market Value and Forecast (US$ Bn), and Share Analysis (%), Forecast Period up to 10 Years
- Y-o-Y Growth Analysis (%), Forecast Period up to 10 Years
- Regional Trends
- North America
- Market Size and Forecast (US$ Bn), By Fuel Type, Forecast Period up to 10 Years
- Market Size and Forecast (US$ Bn), By Biofuel Manufacturing Technology , Forecast Period up to 10 Years
- Market Size and Forecast (US$ Bn), By Biofuel Blending Capacity , Forecast Period up to 10 Years
- Market Size and Forecast (US$ Bn), By Platform , Forecast Period up to 10 Years
- Market Size and Forecast (US$ Bn), By Country, Forecast Period up to 10 Years
- U.S.
- Canada
- Europe
- Market Size and Forecast (US$ Bn), By Fuel Type, Forecast Period up to 10 Years
- Market Size and Forecast (US$ Bn), By Biofuel Manufacturing Technology , Forecast Period up to 10 Years
- Market Size and Forecast (US$ Bn), By Biofuel Blending Capacity , Forecast Period up to 10 Years
- Market Size and Forecast (US$ Bn), By Platform , Forecast Period up to 10 Years
- Market Size and Forecast (US$ Bn), By Country, Forecast Period up to 10 Years
- UK
- France
- Germany
- Russia
- Italy
- Rest of Europe
- Asia Pacific
- Market Size and Forecast (US$ Bn), By Fuel Type, Forecast Period up to 10 Years
- Market Size and Forecast (US$ Bn), By Biofuel Manufacturing Technology , Forecast Period up to 10 Years
- Market Size and Forecast (US$ Bn), By Biofuel Blending Capacity , Forecast Period up to 10 Years
- Market Size and Forecast (US$ Bn), By Platform , Forecast Period up to 10 Years
- Market Size and Forecast (US$ Bn), By Country, Forecast Period up to 10 Years
- India
- Japan
- South Korea
- China
- Rest of Asia Pacific
- Latin America
- Market Size and Forecast (US$ Bn), By Fuel Type, Forecast Period up to 10 Years
- Market Size and Forecast (US$ Bn), By Biofuel Manufacturing Technology , Forecast Period up to 10 Years
- Market Size and Forecast (US$ Bn), By Biofuel Blending Capacity , Forecast Period up to 10 Years
- Market Size and Forecast (US$ Bn), By Platform , Forecast Period up to 10 Years
- Market Size and Forecast (US$ Bn), By Country, Forecast Period up to 10 Years
- Brazil
- Mexico
- Rest of Latin America
- Middle East & Africa
- Market Size and Forecast (US$ Bn), By Fuel Type, Forecast Period up to 10 Years
- Market Size and Forecast (US$ Bn), By Biofuel Manufacturing Technology , Forecast Period up to 10 Years
- Market Size and Forecast (US$ Bn), By Biofuel Blending Capacity , Forecast Period up to 10 Years
- Market Size and Forecast (US$ Bn), By Platform , Forecast Period up to 10 Years
- Market Size and Forecast (US$ Bn), By Country, Forecast Period up to 10 Years
- GCC
- Israel
- South Africa
- Rest of Middle East
- Overview
- Competitive Landscape
- Heat Map Analysis
- Market Presence and Specificity Analysis
- Company Profiles
- Neste
- Company Overview
- Product Portfolio
- Key Highlights
- Financial Overview
- Business Strategies
- Gevo
- Company Overview
- Product Portfolio
- Key Highlights
- Financial Overview
- Business Strategies
- World Energy
- Company Overview
- Product Portfolio
- Key Highlights
- Financial Overview
- Business Strategies
- Eni
- Company Overview
- Product Portfolio
- Key Highlights
- Financial Overview
- Business Strategies
- Fulcrum BioEnergy
- Company Overview
- Product Portfolio
- Key Highlights
- Financial Overview
- Business Strategies
- SkyNRG
- Company Overview
- Product Portfolio
- Key Highlights
- Financial Overview
- Business Strategies
- Velocys
- Company Overview
- Product Portfolio
- Key Highlights
- Financial Overview
- Business Strategies
- Red Rock Biofuels
- Company Overview
- Product Portfolio
- Key Highlights
- Financial Overview
- Business Strategies
- S.G. Preston Company
- Company Overview
- Product Portfolio
- Key Highlights
- Financial Overview
- Business Strategies
- HyPoint Inc.
- Company Overview
- Product Portfolio
- Key Highlights
- Financial Overview
- Business Strategies
- ZeroAvia Inc.
- Company Overview
- Product Portfolio
- Key Highlights
- Financial Overview
- Business Strategies
- The Last Word
- Future Impact
- About Us
- Contact
FAQs
The global sustainable aviation fuel market is segmented based on fuel type, manufacturing technology, bio-fuels blended capacity, platforms, and region.
Increasing need for reduction in GHG emissions in aviation industry and rising initiatives from government bodies is the major factor driving growth of the global market.
North America is predicted to grow at the very best CAGR during the forecast period. To cater to the necessity for of reduction in carbon footprints because of increasing traffic and air passengers, the countries like the US and Canada in North America are focused on various initiatives to utilize the renewable aviation fuel. With supportive policies and initiatives to decarbonize aviation emissions, the North American market is deemed to be one among the strong demand centres for sustainable aviation fuel. The number of sustainable aviation fuel initiatives taken by countries within the region like the US and Canada is Commercial Aviation Alternative Fuel Initiative (CAAFI), Midwest Aviation Sustainable Biofuels Initiative (MASBI), and Canada’s Biojet Supply Chain Initiative, among others.
Several strategic initiatives including portfolio expansions through novel product launches have been adopted by key players to maintain their presence in the market for sustainable aviation fuel. For instance, In August 2020, S&P Global Platts ("Platts"), the leading independent provider of information and benchmark prices for the commodities and energy markets, announced the launch of the first-to-market Sustainable Aviation Fuel (SAF) price assessment in Europe to bring additional transparency as the industry embraces energy transition.