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Aviation Fuel Market Growth: Renewable & Alternative Aviation Fuels

03-31-2025 07:21 AM CET | Energy & Environment

Press release from: Allied Analytics LLP

Aviation Fuel Market Growth: Renewable & Alternative Aviation

According to a new report published by Allied Market Research, the global aviation fuel market size was valued at $179.2 billion in 2018 and is anticipated to generate $238.5 billion by 2026. The market is projected to experience growth at a CAGR of 3.5% from 2019 to 2026.

Aviation fuel is a type of petroleum-based fuel used to energize an aircraft. It has better quality than other fuels used in any other medium of transport. The additives used in aviation fuel reduce the risk of icing or explosion due to high temperature.

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The global market was dominated by North America while, Asia-Pacific is expected to grow at higher CAGR owing to high demand from emerging economies in the region.

India is projected to grow at the highest CAGR of approximately 4.6%, in terms of revenue, during the forecast period

India and U.S. dominated aviation fuel market share with a revenue of over 4.6% and 4.1% in 2018.

The key players in global aviation fuel industry are Bp p.l.c., Chevron Corporation, Exxon Mobil Corporation, Gazprom, Indian Oil Corporation Limited, Petrobras, Royal Dutch Shell plc, Sinopec Group, Total SA, and Oman Oil Company SAOC.

The demand from military sector for efficient and low cost military grade fuel has increased as all the nations are increasing their military strength. Owing to increased disposable income and boom in tourism industry, rise in air transportation has been experienced through air travel mode, which further drives the market growth.

Introduction of new flight routes and investments from government in the field for construction of new airports also boosts the aviation fuel market growth.

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Demand Drivers

Air Travel Growth: Increasing demand for air travel, particularly in emerging markets, drives fuel consumption.

Cargo Transport: Growth in e-commerce and global trade boosts demand for air cargo services.

Regulatory Pressure: Stricter emissions regulations encourage airlines to invest in cleaner fuels, including SAF.

Fluctuations in crude oil prices and rise in concerns over high level of carbon emissions leading to strict rules and regulations hampers the market growth.

Meanwhile emerging sustainable aviation fuel (SAF) that is produced from typical feedstocks such as cooking oil and other non-palm waste oils from animals or plants, solid waste from homes and businesses, such as packaging, paper, textiles, and food scraps offer lucrative opportunities for the growth of the aviation fuel industry.

Depending on fuel type, it is divided into jet A, jet A1, jet B, JP 5, JP 8, avgas, and biofuels. In 2018, jet A1 dominated the market share and is expected to grow at higher a CAGR during the forecast period.

Depending on aircraft type, the market is classified into fixed wings, rotorcraft, and others. Fixed wings dominated the market share in 2018 and is expected to remain dominant during the forecast period.

By end user, the market is categorized into civil, military, private, and sports & recreational. The civil segment dominated the market share and is expected to grow at higher CAGR compared to other end users.

The civil segment is anticipated to grow with CAGR 3.6%, in terms of revenue, during the forecast period

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Future Trends

Sustainable Aviation Fuel Adoption

Increased investment in SAF production and partnerships between airlines, fuel producers, and governments to scale up production.

Technological Innovations

Advancements in fuel technologies, including the development of more efficient engines and alternative fuel sources.

Carbon Offset Initiatives

Airlines are increasingly participating in carbon offset programs to mitigate emissions and improve sustainability credentials.

Market Consolidation

Mergers and acquisitions among fuel suppliers and refiners may reshape the competitive landscape of the aviation fuel market.

Buy This Report (353 Pages PDF with Insights, Charts, Tables, and Figures): https://bit.ly/3YKtkPS

Region wise, the aviation fuel market analysis is done across North America, Europe, Asia-Pacific, and LAMEA (Latin America, Middle East and Africa).

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David Correa1209 Orange Street,Corporation Trust Center,Wilmington, New Castle,Delaware 19801 USA.Int'l: +1-503-894-6022Toll Free: +1-800-792-5285Fax: +1-800-792-5285help@alliedmarketresearch.com

Web: www.alliedmarketresearch.com

Allied Market Research Blog:

https://blog.alliedmarketresearch.com

Allied Market Research (AMR) is a full-service market research and business-consulting wing of Allied Analytics LLP based in Portland, Oregon. Allied Market Research provides global enterprises as well as medium and small businesses with unmatched quality of "Market Research Reports" and "Business Intelligence Solutions." AMR has a targeted view to provide business insights and consulting to assist its clients to make strategic business decisions and achieve sustainable growth in their respective market domain.

Pawan Kumar, the CEO of Allied Market Research, is leading the organization toward providing high-quality data and insights. We are in professional corporate relations with various companies and this helps us in digging out market data that helps us generate accurate research data tables and confirms utmost accuracy in our market forecasting. Each and every data presented in the reports published by us is extracted through primary interviews with top officials from leading companies of domain concerned. Our secondary data procurement methodology includes deep online and offline research and discussion with knowledgeable professionals and analysts in the industry.

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