News - Full StorySustainable Aviation Fuel Market Estimated to Reach Value of US$ 402.0Bn by 2050: TMR Study
Key advantage for reduced CO2 emissions to promote environment conservation stimulates demand for sustainable aviation fuel
Increasing demand for biofuels assisting in expansion of overall market
Europe emerged as the leader in global market in 2021 owing to implementation of stringent regulations regarding sustainable aviation fuel in countries such as U.K. and Germany
WILMINGTOM, Del., Nov. 23, 2022/PRNewswire/ -- As per study conducted by TMR, the global Sustainable Aviation Fuel Market is estimated to advance at compound annual growth rate of 26.2% during the forecast period between 2022 and 2050.
The past decade has witnessed steady increase in need to reduce emission of hazardous gases, globally as well as increased focus on climate change and its impact, worldwide. As a result, the demand for products that help in decreasing hazardous gases and help manage climate change has risen. Sustainable aviation fuel emits harmful gases 75% less than jet fuel, which has led to its increased adoption, thereby contributing to market growth.
Growth strategies such as new product launches are helping prominent sustainable aviation companies in gaining an edge over competitors and in generating new revenue streams. Furthermore, leading sustainable aviation fuel companies in industry for sustainable aviation fuel are also adopting strategies such as collaboration with smaller players to expand their presence in global market and improve their revenue.
Key Findings of Sustainable Aviation Fuel Market Study
Increasing Demand for Biofuels Stimulating Growth in Sustainable Aviation Fuel Market: Biofuel type segment held major share in global market in 2021 and is anticipated to remain the dominant segment, during the forecast period. Biofuels are produced from biomass and products such as charcoal, fuelwood, and animal dung, which serve as raw materials in biofuels production. Furthermore, biofuels may also be obtained from crops, agricultural products, or fishery products. Biofuels can offer close to the same performance as petrol-based jet fuels with reduced carbon footprint and as a result, are witnessing more demand than other fuel types.
Rising Demand for HEFA-SPK Technology Propelling Overall Market: HEFA-SPK technology segment accounted for major share in global market in 2021. HEFA-SPK segment use vegetable oil, which is first subjected to oxygenation reaction and then hydrogen is added to decompose the fatty compounds into hydrocarbons. These fatty compounds are refined into a combination of different liquids which can be further blended. Increasing demand for HEFA-SPK technology is positively impacting Sustainable Aviation Fuel Market outlook
Sustainable Aviation Fuel Market-Key Drivers
Increasing demand for sustainable fuel in aviation industry is one of the key driving factors of global Sustainable Aviation Fuel Market
Rising investments in renewable energy sources is anticipated to stimulate the Sustainable Aviation Fuel Market growth during the forecast timeline
Globally, Europe emerged as the dominant region in overall market in 2021 and accounted for largest share in Sustainable Aviation Fuel Market. Factors such as implementation of strict energy regulations in countries such as U.K. and Germany triggered the demand for sustainable aviation fuel in aviation industry, and thus propelled overall market
North America stood second in global market in 2021 owing to increasing number of collaborations between government and stakeholders in the aviation industry in countries such the U.S. and Canada.
Sustainable Aviation Fuel Market-Key Players
The sustainable aviation fuel industry is competitive with the presence of numerous leading players. Entry of new players could intensify the competition in overall market, during the forecast period.
Transparency Market Research, a global market research company registered at Wilmington, Delaware, United States, provides custom research and consulting services. The firm scrutinizes factors shaping the dynamics of demand in various markets. The insights and perspectives on the markets evaluate opportunities in various segments. The opportunities in the segments based on source, application, demographics, sales channel, and end-use are analysed, which will determine growth in the markets over the next decade.
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