Sustainable Aviation Fuel Market to Reach $84.5 Billion by 2035 as Airlines Race to Secure Supply
manilatimes.netThe sustainable aviation fuel market is projected to hit $84.5 billion by 2035, growing at a 35.2% CAGR, according to a new report from DataM Intelligence. The analysis covers how airlines, fuel producers, and feedstock suppliers are competing to secure supply of SAF, which remains scarce and expensive. Global SAF production is expected to reach only 2.4 million tonnes in 2026, just 0.8% of total aviation fuel consumption. The report highlights that companies winning in this space will be those who lock in supply agreements early, control feedstock flows, and establish firm offtake arrangements at major aviation fuel hubs. Aviation has fewer decarbonization alternatives than road transport or power generation, making SAF the primary near-term solution for cutting emissions from long-haul flights. Key challenges include scaling production capacity, building out feedstock supply chains, and closing the gap between announced demand and actual production. The analysis positions SAF procurement as a strategic supply-chain issue rather than just an ESG initiative, with early movers likely to gain competitive advantage in the coming decade.