The global   sustainable aviation fuel market size   was valued at USD 1,845.2 million in 2024 and is expected to increase from USD 2,723.8 million in 2025 to USD 28,636.36 million by 2032, registering a robust CAGR of 39.9% during the forecast period. In 2024, North America led the market, accounting for 46% of the global share.

North America led the sustainable aviation fuel (SAF) market in 2024 with a 46% share, supported by strong policy frameworks, tax incentives, and initiatives such as the U.S. SAF Grand Challenge. Biofuels dominated by type due to their compatibility with existing aircraft and infrastructure, while HEFA-SPK emerged as the leading production pathway thanks to its technological maturity and flexible feedstock use. The 30–50% blending capacity segment held the largest share as airlines increasingly adopted higher SAF blends to meet sustainability goals, with commercial aviation remaining the primary end-use sector and fixed-wing aircraft leading by application, driven by OEM initiatives and government subsidies. Country-level developments further accelerated growth: the U.S. advanced with tax credits and ethanol-based SAF subsidies; Canada secured a 60,000-ton SAF supply deal with Neste; the U.K. introduced a 2% blending mandate from 2025; Germany conducted a milestone 100% Fischer-Tropsch synthetic fuel test flight; France signed a 1.5 million ton SAF supply agreement with Air France-KLM through 2035; China completed its first helicopter flight using a 40% SAF blend; Brazil enacted the “Fuel of the Future” law to promote SAF leadership; and South Africa demonstrated potential to produce up to 4.5 billion liters annually using biomass and sugarcane residues.

Fortune Business Insights™ displays this information in a report titled, "Sustainable Aviation Fuel Market, 2025-2032."

Informational Source:

https://www.fortunebusinessinsights.com/sustainable-aviation-fuel-saf-market-111563

LIST OF KEY COMPANIES PROFILED IN THE REPORT

• Neste (Finland)
• World Energy (U.S.)
• Gevo, Inc. (U.S.)
• Alder Fuels (U.S.)
• SkyNRG (Netherlands)
• Air BP (U.K.)
• Shell Aviation (Netherlands)
• TotalEnergies (France)
• Vitol Aviation (Switzerland)
• LanzaTech (U.S.)
• Fulcrum Bioenergy (U.S.)

Segmentation: Sustainable Aviation Fuel Market

The global sustainable aviation fuel market size is segmented by type into biofuel and synthetic fuel; by technology into HEFA-SPK, FT-SPK, ATJ-SPK, and others; by blending capacity into 5%–30%, 30%–50%, and above 50%; by end use into commercial aviation, military aviation, and others; and by application into fixed-wing and rotary-wing aircraft. Regionally, the market is categorized into North America (U.S. and Canada), Europe (U.K., Germany, France, Russia, and Rest of Europe), Asia Pacific (China, Japan, India, South Korea, and Rest of Asia Pacific), and Rest of the World, which includes Latin America and the Middle East & Africa, with each segment analyzed by type, technology, blending capacity, end use, and application.

Report Coverage:

The report has conducted a detailed study of the market and highlighted several critical areas, such as leading types, technologies, applications, and prominent market players. It has also focused on the latest market trends and the key industry developments. Apart from the aforementioned factors, the report has given information on many other factors that have helped the market grow.

Drivers and Restraints:

Increasing Demand for Alternative Fuels to Boost Product Adoption

Industries across the world, including aviation, are becoming aware of the harmful effects of using fossil fuels on the environment, such as global warming and climate change. This factor has prompted them to take various measures to reduce their greenhouse gas emissions and make their business operations eco-friendlier. This is expected to fuel the adoption of Sustainable Aviation Fuel (SAF) in the aviation sector as this fuel has the potential to decrease emissions by nearly 80%, depending on the production technique and type of feedstock used. This can make the aviation industry more sustainable in its operations.

However, high cost and limited availability of feedstock can hinder the Sustainable Aviation Fuel (SAF) market growth.

Regional Insights:

North America Dominated Global Market Owing to Implementation of Strict Environmental Regulations

North America held the biggest sustainable aviation fuel market share in 2024 and might retain its dominance during the forecast period as well as governments across the region have imposed several stringent environmental regulations to reduce their carbon emissions. They have also formulated various policies to support the adoption of cleaner fuels in various industries.

Europe is also increasing its reliance on Sustainable Aviation Fuel (SAF) owing to the strict regulations imposed by the governments to decrease the carbon emissions of its industries, including aviation.

Competitive Landscape:

Market Players to Focus On Launch of Innovative Fuels to Cater to Wider Audience

Some of the top companies driving the global Sustainable Aviation Fuel (SAF) market growth are focusing on developing and launching a wide range of eco-friendly fuels for different industries. They are increasing their investments in research & development programs to find out about the latest technologies and use them to manufacture SAF.

Notable Industry Development:

September 2024-   TotalEnergies signed an agreement with Air France-KLM to help the former deliver around 1.5 million tons of Sustainable Aviation Fuel (SAF) over a period of 10 years until 2035. This deal was one of the biggest SAF purchase agreements for Air France-KLM to date. It strengthened the airline’s dominance in the use of SAF, accounting for 17% and 16% of the global SAF production in 2022 and 2023, respectively.