Sustainable, Aviation

SkyQuest Technology United States of America United Kingdom

12.08.2025 - 16:16:14

Sustainable Aviation Fuel Market to Grow at a CAGR of 48% from 2025 to 2032 | SkyQuest Technology Consulting

category is the most widely used type of SAF in 2024 due to their compatibility with current airport fueling systems and aircraft engines. Commercial use of biofuels, which are made from spent oils and fats, is already permitted. They are therefore a good option for reducing aviation's carbon footprint soon.By biofuel conversion pathway, in 2024, the most common SAF conversion mechanism remained the hydroprocessed esters and fatty acids (HEFA-SPK) conversion pathway. A globally approved and commercially viable fuel, HEFA-SPK is derived from renewable lipids such as recycled cooking oil. With lower lifetime emissions and minimal infrastructure requirements, it is a dependable drop-in fuel choice for airlines.By biofuel blending capacity, in 2024, the sector with blending capacities below 30% is the most popular due to current technological and legal limitations. Within this range, the majority of commercial airlines use a blend of SAF and ordinary jet fuel. Without having to replace the engines or install new fueling systems, this keeps the aircraft operating efficiently and helps them meet their sustainability goals.By aircraft type, since major airlines like United and Lufthansa started using SAF on their regular flights, commercial aircraft used it the most in 2024. The rapid adoption of SAF in the aviation fuel industry can be attributed in large part to this market. This is a result of the desire for more environmentally friendly travel held by both the public and the government.By end user, airliner segment accounted for the majority of demand in 2024, they are the primary end users of SAF. As more people want to travel in an environmentally friendly manner, airlines are incorporating SAF into their fuel mix to reduce emissions, comply with regulations like CORSIA and ReFuelEU, and enhance their brand value.

Regional Outlook

North America dominated the sustainable aviation fuel market by 2024, due to US initiatives like the SAF Grand Challenge and resolute pledges from United and Delta Airlines. Airlines and fuel producers can collaborate more easily and increase their output due to federal regulations and incentives, such as tax credits under the Inflation Reduction Act.SAF programs are expanding quickly throughout Asia-Pacific, particularly in Singapore and Japan. SAF is now being used on commercial flights operated by ANA and Japan Airlines. The largest SAF manufacturing facility in the world is in Singapore's Neste factory. In addition to meeting aggressive decarbonization targets for aviation hubs in 2025, it improved the local supply.Europe holds a significant share of the market due to its strict climate change regulations. The ReFuelEU program calls for a higher SAF composition beginning in 2025. Governments are supporting manufacturing initiatives with funding and partnerships to meet strict emissions reduction targets. Airline companies such as Lufthansa and Air France-KLM are also investing in SAF.The usage of SAF is on the rise in LAMEA and the two leaders in adoption currently are Brazil and the United Arab Emirates, and Etihad and Emirates have both been testing it on long-haul flights recently. Brazil is using its understanding of biofuels to investigate domestic SAF production, however, in too many locations it becomes difficult for others to pursue it due to infrastructure and regulatory challenges.

Explore Extensive ongoing Coverage on Energy Sector:

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