Asia's SAF production surpasses local demand, increasing exports

thehindu.com

Asia is set to produce more sustainable aviation fuel (SAF) than it can use, leading to increased exports and potentially lower prices. Five new SAF projects are starting this year, targeting markets in Asia and Europe. Currently, Asia's SAF demand is low, with mandatory use not starting until 2026 in some countries. This contrasts with Europe, where regulations are already in place. Delays in projects, especially in China, may affect future production. Despite the oversupply, some airlines are voluntarily using SAF to enhance their sustainability image. Asia exported over 370,000 tons of SAF in 2024, primarily from Singapore, and is expected to remain a net exporter through 2026.


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