Aviation Biofuel Global Strategic Industry Research Report 2025-2030 - Carbon Credit Trading and CORSIA Compliance Drives SAF Adoption by International Carriers

Understand the significant growth trajectory of the Hydroprocessed Esters & Fatty Acids segment, which is expected to reach US$18.0 Billion by 2030 with a CAGR of a 3.2%. The Hydrotreated Vegetable Oil segment is also set to grow at 4.1% CAGR over the analysis period. Gain insights into the U.S. market, valued at $10.6 Billion in 2024, and China, forecasted to grow at an impressive 7.0% CAGR to reach $9.8 Billion by 2030. Discover growth trends in other key regions, including Japan, Canada, Germany, and the Asia-Pacific.
Aviation Biofuel Market
Dublin, June 05, 2025 (GLOBE NEWSWIRE) -- The "Aviation Biofuel - Global Strategic Business Report" report has been added to ResearchAndMarkets.com's offering.The global market for Aviation Biofuel was valued at US$38.7 Billion in 2024 and is projected to reach US$48.8 Billion by 2030, growing at a CAGR of 3.9% from 2024 to 2030. This comprehensive report provides an in-depth analysis of market trends, drivers, and forecasts, helping you make informed business decisions.
Global regulatory frameworks, such as the International Civil Aviation Organization's (ICAO) CORSIA program and the EU's RefuelEU initiative, are mandating lifecycle emissions reductions and SAF blending targets to push the industry toward net-zero by 2050. Biofuels derived from sustainable feedstocks - such as used cooking oil, agricultural residues, municipal waste, and non-food energy crops - are central to meeting these mandates. As airlines, airports, and fuel suppliers align with ESG targets and carbon offset mechanisms, aviation biofuel adoption is transitioning from pilot-scale to commercial viability.Beyond emissions mitigation, aviation biofuel offers strategic value in energy diversification and supply chain resilience. Regional production of SAF using local feedstocks reduces dependence on volatile crude oil markets and enhances energy security. Governments are now treating SAF capacity building as an industrial policy priority, linking it with job creation, rural development, and innovation in the circular economy. With climate imperatives accelerating, aviation biofuel is no longer a niche alternative but a central enabler of the industry's long-term operational and reputational sustainability.
What Are the Factors Driving Growth in the Aviation Biofuel Market?The aviation biofuel market is accelerating as decarbonization pressure, regulatory mandates, and energy diversification imperatives converge across the aviation value chain. SAF is uniquely positioned to deliver near-term emissions reductions while leveraging existing aircraft and fueling infrastructure - bridging the gap between climate ambition and operational feasibility.Key growth drivers include the global rollout of emissions compliance frameworks, expanding feedstock and conversion technologies, rising corporate travel decarbonization commitments, and increasing alignment between energy, agriculture, and aviation sectors. As production scales and costs decline, SAF is expected to evolve from a niche sustainability initiative to a mainstream component of global aviation fuel supply.As climate targets tighten and flight demand rebounds, could aviation biofuel become the defining catalyst that enables the aviation industry to decouple growth from carbon - transforming air travel into a climate-resilient, net-zero mode of global connectivity?
How Are Feedstock Technologies, Processing Pathways, and Certification Standards Advancing Commercial Deployment?Technological innovation across the SAF value chain is accelerating scalability and performance optimization. Multiple conversion pathways - such as HEFA (Hydroprocessed Esters and Fatty Acids), Fischer-Tropsch synthesis, Alcohol-to-Jet (ATJ), and Synthetic Iso-Paraffins (SIP) - are being deployed based on regional feedstock availability and policy incentives. HEFA remains the most commercially mature route, using waste fats and oils, while emerging platforms are targeting lignocellulosic biomass, algae, and carbon-captured e-fuels for next-generation feedstock flexibility.Feedstock diversification is a key focus, with industry stakeholders investing in low-cost, non-edible, and waste-based inputs to avoid land-use conflicts and food security concerns. Advanced R&D in microbial conversion, pyrolysis, and gasification is enabling higher yields, lower GHG intensity, and broader compatibility with global supply chains. Lifecycle assessments and carbon intensity metrics are becoming standard components of SAF procurement, ensuring that environmental claims are verifiable, traceable, and aligned with global climate protocols.Which Airline Segments, Airport Hubs, and Regional Policies Are Accelerating Aviation Biofuel Uptake?Commercial airlines are leading the charge in SAF adoption, particularly flag carriers, full-service networks, and sustainability-focused low-cost carriers. Major players in North America, Europe, and Asia-Pacific have entered long-term offtake agreements with biofuel producers to secure supply and meet emissions reduction targets. SAF is being integrated into regular flight operations, with flagship routes and climate-conscious travel options marketed to corporate and leisure customers seeking greener alternatives.Airports are becoming critical facilitators of SAF deployment through fuel blending infrastructure, storage upgrades, and collaboration with regional suppliers. Hubs such as Los Angeles (LAX), Amsterdam Schiphol, Frankfurt, and Singapore Changi are establishing SAF-ready fueling systems and incentivizing carriers through reduced landing fees, emissions credits, or preferential gate allocation. Regional airport authorities are also working with municipal waste processors and agribusinesses to co-locate SAF production near major air corridors.National and regional policies are providing the structural support needed to scale aviation biofuel markets. The European Union's RefuelEU Aviation initiative mandates SAF blending percentages beginning in 2025, with targets increasing through 2050. The U.S. Inflation Reduction Act includes tax credits and production incentives for SAF, while countries like the UK, Japan, and Canada are launching SAF roadmaps that link aviation decarbonization to national climate goals. These regulatory levers are fostering demand certainty, investment pipelines, and cross-sector collaboration - catalyzing the transition from demonstration to deployment.How Are Industry Collaboration Models, Capital Deployment, and Supply Chain Innovation Reshaping Market Expansion?Strategic partnerships between airlines, energy companies, and technology developers are driving investment into biofuel production capacity and distribution logistics. Co-development agreements, equity investments, and joint ventures are helping de-risk SAF commercialization by aligning feedstock sourcing, refining capabilities, and offtake commitments. Major oil and gas companies are repositioning biofuels as part of their decarbonization strategies, leveraging existing refinery assets to integrate SAF into their product portfolios.Capital deployment into aviation biofuel infrastructure is scaling rapidly, with public-private funding mechanisms, green bonds, and climate-aligned financial instruments supporting new biorefineries and retrofitting of legacy plants. Multilateral development banks, climate funds, and sovereign wealth entities are increasingly backing SAF ventures in both developed and emerging markets. Long-term purchase agreements and price floor mechanisms are being used to secure revenue predictability for producers and encourage first-mover investments.Supply chain innovation is becoming a key differentiator in market development. Logistics platforms are emerging to coordinate feedstock aggregation, fuel blending, quality control, and carbon tracking. Blockchain and digital twin technologies are being explored to provide end-to-end traceability, enabling airlines and corporate buyers to quantify Scope 3 emissions reductions. As SAF gains traction, vertically integrated ecosystems combining feedstock cultivation, processing, and delivery are reshaping how aviation fuel is produced, distributed, and valued.Report Scope
Report Features:
Comprehensive Market Data: Independent analysis of annual sales and market forecasts in US$ Million from 2024 to 2030.
In-Depth Regional Analysis: Detailed insights into key markets, including the U.S., China, Japan, Canada, Europe, Asia-Pacific, Latin America, Middle East, and Africa.
Company Profiles: Coverage of players such as Aemetis Inc., Air Company, Alder Fuels, Amyris Inc., BP plc and more.
Complimentary Updates: Receive free report updates for one year to keep you informed of the latest market developments.
Segments
Type (Hydroprocessed Esters & Fatty Acids, Hydrotreated Vegetable Oil, Flight Test, Safety Information Protection, Alcohol-To-Jet)
Application (Military, Commercial, Other Applications)
Tariff Impact Analysis: Key Insights for 2025What's Included in This Edition:
Tariff-adjusted market forecasts by region and segment
Analysis of cost and supply chain implications by sourcing and trade exposure
Strategic insights into geographic shifts
Buyers receive a free July 2025 update with:
Finalized tariff impacts and new trade agreement effects
Updated projections reflecting global sourcing and cost shifts
Expanded country-specific coverage across the industry
Key Attributes:
Report Attribute
Details
No. of Pages
277
Forecast Period
2024 - 2030
Estimated Market Value (USD) in 2024
$38.7 Billion
Forecasted Market Value (USD) by 2030
$48.8 Billion
Compound Annual Growth Rate
3.9%
Regions Covered
Global
Key Topics Covered: MARKET OVERVIEW
Influencer Market Insights
World Market Trajectories
Aviation Biofuel - Global Key Competitors Percentage Market Share in 2025 (E)
Competitive Market Presence - Strong/Active/Niche/Trivial for Players Worldwide in 2025 (E)
MARKET TRENDS & DRIVERS
Rising Pressure to Decarbonize Aviation Throws the Spotlight on Sustainable Aviation Fuel (SAF)
Growth in Airline Commitments to Net-Zero Targets Spurs Investment in Biofuel Development and Procurement
Government Incentives and Mandates in EU and U.S. Drive Market Creation for Renewable Jet Fuel
Expansion of Feedstock Supply Chains Using Waste Oils, Algae, and Biomass Bodes Well for Fuel Diversity
Advancements in HEFA, ATJ, and FT Fuel Pathways Support Commercialization of Multiple Production Routes
Integration of SAF Into Airport Fueling Infrastructure Enhances Scalability and Operational Readiness
Long-Term Offtake Agreements Between Airlines and Biofuel Producers Provide Market Stability
Public Support for Green Aviation Fuels Boosts Industry-Wide Transition From Fossil-Based Jet Fuels
Carbon Credit Trading and CORSIA Compliance Drives SAF Adoption by International Carriers
Use in Military and Business Aviation Segments Supports Early Adoption and Cost Absorption
FOCUS ON SELECT PLAYERS:Some of the 34 companies featured in this report
Aemetis Inc.
Air Company
Alder Fuels
Amyris Inc.
BP plc
Chevron Corporation
Clay Lacy Aviation
Eneos Holdings
Eni S.p.A.
Fulcrum BioEnergy Inc.
Gevo Inc.
Honeywell International Inc.
LanzaJet
LanzaTech
Neste Oyj
PetroSun Inc.
Preem AB
Red Rock Biofuels LLC
Renewable Developments Australia
Shell plc
For more information about this report visit https://www.researchandmarkets.com/r/8iieaa
About ResearchAndMarkets.comResearchAndMarkets.com is the world's leading source for international market research reports and market data. We provide you with the latest data on international and regional markets, key industries, the top companies, new products and the latest trends.
Attachment
Aviation Biofuel Market
CONTACT: CONTACT: ResearchAndMarkets.com Laura Wood,Senior Press Manager press@researchandmarkets.com For E.S.T Office Hours Call 1-917-300-0470 For U.S./ CAN Toll Free Call 1-800-526-8630 For GMT Office Hours Call +353-1-416-8900

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