Advanced Biofuels Market Size, Share, Growth, and Industry Growth, By Type (Cellulosic Biofuels, Biodiesels, Biogas, Bio Butanol, and others), By Application (Automotive, Aviation, and others), Regional Insights, and Forecast To 2031

Updated On: 08 April 2024

Advanced Biofuels Market REPORT OVERVIEW

• 
• Request a Free sample to learn more about this report

The global advanced biofuels market size was USD 20550 million in 2022 and market is projected to touch USD 139368.3 million by 2031, exhibiting a compound annual growth rate (CAGR) of 23.7% during the forecast period.

The fuels are manufactured with the help of various types of biomass, including agricultural, urban, and other wastes. These biofuels are also known as second-generation biofuels. They are made of lignocellulosic biomass or woody crops, agricultural and non-starch residues, and sugars, which makes the extraction process harder. Advanced biofuels are developed to overcome the adverse environmental effects and high freezing temperature limitations of the fuel. They are able to supply a large amount of global fuel sustainably, which has higher environmental benefits and is affordable for the population. 

Based on raw resources such as algae, simple lignocellulose, jatropha, camellia, complicated lignocellulose, and others, sustainable biofuels are categorized. Due to the oil concentration of algal raw materials, advanced fuel accounted for the biggest market share. This plant can be cultivated in the ocean or wastewater and flourishes on wasteland. Algae-based biofuels are naturally biodegradable and provide substantially less of an environmental threat if spilled. Furthermore, compared to other raw materials like jatropha, the development rate of algae is faster. Other fuel types, including cellulosic ethanol, biodiesel, bio butanol, and bio DME, are used to categorize the biofuels. The global advanced biofuel market's most significant revenue share belongs to the biodiesel fuel type category.

COVID-19 Impact: Low Demand for Fuel Due To Lockdown Impeded Market Growth

The key markets around the world have been impacted by the COVID-19 explosion. COVID-19 had a negative impact on the worldwide industry. The largest advanced biofuel market is in North America, but as lockout and COVID scenarios have spread across the country, so has supply. Due to COVID-19, the target industry's expansion in both established and developing nations has been hampered by supply chain instability, fluctuating raw material supplies, a lack of skilled labor in the manufacturing facility, and a decline in end-user demand.

LATEST TRENDS

"Escalating Consumption of Energy to Bolster the Demand for Advanced Biofuels"

The consumption of biofuels is on a constant rise, which leads to the demand for sustainable and renewable energy sources. Advanced biofuels are environmental friendly, which increases their adoption in the global market. These fuels are used in automotive and aviation. The expansion of the aviation industry is leading to the rising demand for advanced biofuels. These fuels replace diesel and gasoline with their substantially low emission of substances that deplete the ozone layer. The automotive industry is expanding, coupled with the expanding demand for advanced biofuels from the industry. 

Advanced Biofuels Market Segmentation

• 
• Request a Free sample to learn more about this report

• By Type Analysis

By type, the market is segmented into cellulosic biofuels, biodiesels, biogas, bio butanol, and others.

Cellulosic biofuel is anticipated to dominate the global market due to various applications of biofuel in the automotive industry and in the aviation industry as fuel.

• By Application Analysis

Based on application, the market is classified into automotive, aviation, and others.

DRIVING FACTORS

"Government Regulations to Control Global Warming to Boost Product Demand"

A few of the key variables that are anticipated to drive the advanced biofuel market growth are the government's strict environmental regulations and the public's growing concerns about global warming. Moreover, the market is anticipated to be driven by elements including environmental friendliness, the use of advanced biofuels in the automotive and aviation industries, significant investments in R&D for the technologies utilized to convert biomass into advanced fuels, and ease of access to raw materials. The expanding automotive industry is anticipated to play a major part in the growth of the market. Industries are rapidly adopting biofuels to decrease the pollution rate in the environment. These factors are anticipated to foster growth in the market.

"Rising Demand for Energy to Project Market Growth"

Growing industrialization and urbanization are surging the demand for advanced biofuels. Energy consumption is rising due to the development of various technologies. Sustainable fuels are easily available, which is forecasted to gain growth in the market. The demand to reduce dependency on imported fuels is boosting the demand for biofuels. The increasing demand for biofuels is leading to the rapid adoption of the product as the dependency on imported oil costs more. These fuels are affordable, which is expanding the product consumption rate. Additionally, the rising demand for technological advancements and rising investment in research and development projects are also forecasted to surge growth in the market.

RESTRAINING FACTORS

"Food Shortage to Hamper the Market Growth"

The fertilizers made of phosphorus and nitrogen may affect the growth of the market. The other reason anticipated to hinder the advanced biofuels market growth is the shortage of food. The biofuels are made with the help of food, fruits, and vegetables. The shortage of food may affect product manufacturing.

Advanced Biofuels Market REGIONAL INSIGHTS

• 
• Request a Free sample to learn more about this report

"Asia Pacific to Dominate the Market Owing to the Steady Adoption of Advanced Fuels"

Asia Pacific is estimated to lead the advanced biofuels market share owing to the rapid adoption of the products in developing countries such as India, China, and Japan. Government regulations and rising urbanization is serving regional growth.North America is expected to hold a prominent part of the advanced biofuels market share due to the rising demand for cleaner burning vehicle fuels.

Europe is anticipated to show significant growth in the global market due to rising research & development & demonstration activities that indicate the market’s potential growth for applications in air, shipping, and marine transport.

KEY INDUSTRY PLAYERS

"Key Players Focusing On the Development of More Sustainable Fuels to Grow in the Market"

Businesses are working on developing new technology to offer more easy ways to increase product portfolio. Companies also use innovative practices and techniques to create new technologies. Companies are focused on acquisitions and investments to increase sales. The marketplace is competitive as a result of the existence of numerous huge firms. An extensive worldwide consumer base and the execution of operations through specialized distribution networks are other characteristics. The key companies strive to gain a higher advanced biofuels market share by launching new products. 

List of Market Players Profiled

• A2BE Carbon Capture (U.S.)
• Algenol Biofuels (U.S.)
• Sundrop Fuels (U.S.)
• LanzaTech (U.S.)
• Green Biologics (U.K.)
• Bankchak Petroleum (Thailand)

INDUSTRY DEVELOPMENT

• June 2019- The pioneer in bio-based chemicals, Genomatica, stated that it acquired some of the assets of Renewable Energy Group Inc.'s REG Life Sciences subsidiary. The main source of advanced biofuels in North America is REG Life Sciences. Genomatica will create new, useful products using the assets it has acquired.

REPORT COVERAGE

An overview of the product is provided along with the product description. Numerous industry elements are included in the research.

• The pandemic's aftereffects and the subsequent lockdown.
• The market's most recent trend is currently fueling expansion.
• The factors are most likely to stimulate market growth.
• The reasons the market is expected to grow more slowly.
• A comprehensive regional analysis of the market is conducted.
• Significant players and their business offices are also covered in the article.