Sustainable Aviation Fuel MarketDemand, Scope and Future Estimation until 2032

According to Future Market Insights (FMI), the sustainable aviation fuel market was worth US$ 220 Mn in 2021 and is expected to reach US$ 15 Bn by 2030, with a CAGR of 60% from 2022 to 2032. 

The COVID-19 virus has spread across the globe without regard for national boundaries. As a result, it has had a severe economic and financial impact on all industries, sectors, and facets of life, as well as tremendous uncertainty.

Governments all over the world are canceling visas for foreign residents and closing down damaged areas, which is one of the principal factors for the aviation industry's downturn.

The aviation industry is dedicated to lowering carbon emissions to create a more sustainable environment and comply with stringent emission laws. As a result, sustainable alternative fuels are being adopted by various participants in sustainable aviation fuel companies, such as improving aero-engine efficiency through design changes, hybrid-electric and all-electric aircraft, renewable jet fuels, sustainable aircraft fuel, and so on.

Most military aircraft and commercial airlines use sustainable aviation fuel to enhance fuel efficiency and decrease operational costs.

The sustainable aviation fuel market has grown significantly over the years, owing to the growing trend of advanced fuels being employed in aircraft all over the world.

The sustainable aviation fuel market trends such as an increase in the number of airline passengers combined with an increase in disposable income, an increase in air travel, and an increase in synthetic lubricant use all contribute to the worldwide sustainable aviation fuel market growth. However, oscillations in crude oil prices and lubricant contamination are anticipated to hamper sustainable aviation fuel market growth during the forecast period. 

Furthermore, the developments of environmentally friendly and safe renewable jet fuel and the rise in demand for low-density lubricants to reduce weight are likely to provide various chances for market expansion throughout the forecast period.

In terms of revenue, North America leads the market, followed by Europe, Asia-Pacific, and LAMEA. In 2020, the United States will dominate the sustainable aviation fuel market. Due to an increase in demand for sustainable aviation fuel across the country, Mexico is predicted to grow at a high rate during the forecast period.

Sustainable aviation fuel offers airlines a chance to invest in the future. The predicted growth in demand for sustainable aviation fuel is unlikely to be reached unless airline operators boost their renewable aviation fuel obligations with bio-refineries, resulting in fuel cost and availability benefits.

With the predicted rise in the adoption of sustainable aviation fuel on a global scale, airport infrastructure investments are anticipated to grow.

Key Takeaways

·         On account of the increased government focus on promoting renewable jet fuel in the defense/military sector, particularly in the United States, the defense sector is expected to be the fastest-growing segment among different applications.

·         In terms of revenue, the biofuel segment is likely to dominate the global sustainable aviation fuel market due to significant advances in technology approaches to commercializing the use of sustainable jet fuel.

·         Based on technology, the FT-SPK segment is estimated to hold the largest market share owing to the rising number of fuel varieties with different feedstock compositions, thereby scaling up the sustainable aviation fuel market size to a great extent.

·         In terms of end-use, the commercial airline sector is expected to be the fastest-growing aviation segment, attributing to rapid economic development and massive investment in improving the retail airline industry's overall infrastructure.

·         Based on blending capacity, the segment ranging from 30% to 50% is predicted to witness the largest market share, and the same can be credited to moderate blending capacity, among others.

·         Biofuel is gaining traction in the global aviation fuel market share to reduce pollution and ensure sustainable air travel based on fuel type. As a result, it is expected to hold a significant sustainable aviation fuel market share.

“North America is projected to be at the forefront of the sustainable aviation fuel market on account of rising demand from various agencies to reduce their carbon footprint, as well as increased air traffic and passengers in tandem with the initiatives undertaken by the United States and Canada aimed at increasing use case scenarios for renewable aviation fuel, combined with an increasing number of government policies, are expected to increase the size of the market. Furthermore, rising air travel activity in emerging economies, along with an increase in the number of key market participants, will play a pivotal role in sustainable aviation fuel market future trends.” points an FMI researcher.

Competitive Landscape

Total Energy (US), Fulcrum BioEnergy (US), World Energy (US), Neste (Finland), and Lanza Tech (US) are a few of the crucial sustainable aviation fuel companies.

Some of the recent developments in the sustainable aviation fuel market are:

·         Rolls-Royce and Shell have signed a definitive long-term partnership agreement to advance the use of sustainable aircraft fuel in engines and support the aviation industry's decarbonization efforts. According to the agreement, the two companies will expand their collaboration, such as Rolls-new Royce's SAFinity service for the business aerospace industry, with Shell serving as the exclusive supplier of sustainable aviation fuel.

·         Neste entered into an agreement with Boston Consulting Group (BCG) to provide Neste MY Sustainable Aviation Fuel on all Finnair and SAS flights taken by BCG employees in the Nordics for business trips. This is predicted to boost the sustainable development aviation fuel market growth.

For more information:

https://www.futuremarketinsights.com/reports/sustainable-aviation-fuel-market  

 

 

 

Comments

Post a Comment

Popular posts from this blog

Automotive Wiring Harness Market to witness a high CAGR through 2027

  Substantial increase in the investment for automated driving activities and development of electric vehicles charging infrastructure across the globe are expected to remain key defining factors in the global  automotive wiring harness market . As per FMI’s analysis, the global automotive wiring harness sales are set to exceed US$ 48 Bn in 2021, whereas in the long-term, revenues will grow at 9.4%. FMI’s latest edition of the report reveals latest perspectives, along with a detailed analysis of how COVID-19 induced slowdown will impact future sales. The COVID-19 pandemic crisis has severely affected the global economic growth, resulting in complete shutdown manufacturing activities and disruptions in the supply chain networks. However, automotive wiring harness market is expected to recover sharply as the economic activity resumes post the containment of pandemic. Key Takeaways ·          Automotive wiring harness demand is driven by healthy demand from automotive production in
Read more

Automotive Pump Market Expected to Behold a CAGR of 6.1% through 2021-2031

  The automotive pump market is expected to witness a significant growth in 2021, thanks to the implementation of various carbon emission norms across various countries. A study by Future Market Insights (FMI) on  automotive pump market  has forecast it to reach US$ 106.0 Mn by the end of 2031, growing at a CAGR of 6.1% over the forecast years (2021-2031). The rising passenger vehicle sales will remain a chief growth driver. In terms of vehicle type, passenger vehicle segment is forecast to remain dominant, accounting for over 70% of sales recorded in the market. Key Takeaways of Automotive Pump Market Study ·          After a period of slow growth amid COVID-19, the automotive pump sales is poised to recover, exhibiting nearly 6% Y-o-Y growth in 2021 ·          The demand from the U.S. will remain a chief growth driver as the country continues accounting for over 80% of sales registered in North America ·          Increasing passenger vehicle production will support growth i
Read more

Battery Energy Storage System Market Estimated to Exhibit 32% CAGR through 2026

  According to an analysis by Future Market Insights (FMI), the   battery energy storage systems  market  is expected to be valued at US$ 64.92 Bn in 2032, with 27.9% CAGR during the forecast period. The market’s expansion can be attributed to rising demand for  grid energy storage systems  due to ongoing grid modernization, increasing penetration of lithium-ion batteries in the  renewable energy  sector, and the rising trend of adopting a low-carbon fossil-fuel-free economy, as well as the ongoing  renewable energy  revolution. The most common renewable energy kinds stored in grids are  solar and wind energy . However, the energy generation process is disrupted when the sun is obscured by clouds or by changing wind currents. Moreover, the significant financial investment necessary to build battery energy storage devices, on the other hand, is limiting industry expansion. Such oscillations necessitate the deployment of flexible grid solutions for  energy storage.  Grid modernizat
Read more