Biorefinery Industry Report 2026-2036: Revenues to Surpass $288 Billion - Net-Zero Pledges in Hard-to-Abate Transport Are Turning SAF and Renewable Diesel Biorefineries into Climate Infrastructure

Key market opportunities in the Biorefinery Market include the growing demand for sustainable aviation fuel (SAF) and renewable diesel due to net-zero pledges, enhancing biorefineries' role as critical climate infrastructure. Despite feedstock constraints and tariff impacts, opportunities for expansion across regions and sectors exist, with investment needed in robust feedstock sourcing and certification.


Dublin, Feb. 18, 2026 (GLOBE NEWSWIRE) -- The "Biorefinery Market Report 2026-2036" report has been added to ResearchAndMarkets.com's offering.

Overall world revenue for the Biorefinery Market will surpass US$288.10 billion in 2026

This report will prove invaluable to leading firms striving for new revenue pockets if they wish to better understand the industry and its underlying dynamics. It will be useful for companies that would like to expand into different industries or to expand their existing operations in a new region.

Net-Zero Pledges in Hard-to-Abate Transport Are Turning SAF and Renewable Diesel Biorefineries into Critical Climate Infrastructure

A fundamental driver of the biorefinery market is that governments and corporates now view sustainable aviation fuel (SAF) and renewable diesel as 'must-have' solutions for decarbonising aviation, heavy road transport and shipping, sectors where electrification is slow or technically difficult. More than 80 countries already have policies supporting liquid biofuels, and the IEA expects biofuel demand to rise by around 11% in the very near term, driven by these climate and energy-security goals.

Airlines, in particular, are locked into net-zero commitments and increasingly rely on SAF mandates and offtake deals, which directly pull demand for biorefinery capacity. Neste, for example, is expanding its Rotterdam renewable fuels refinery so that by 2027 it can produce 2.7 million tonnes of renewable products annually, including 1.2 million tonnes of SAF, while parallel investments in Singapore and Porvoo give it a projected 2.2 million tonne annual SAF capability.

TotalEnergies has similarly converted its La Mede refinery into a 500,000 t/y HVO biorefinery and is investing so it can process 100% waste oils and fats into biofuels and SAF, explicitly positioning the asset as a climate-aligned facility for future aviation and heavy-duty demand. As these sectors face mounting regulatory and investor pressure to decarbonise, SAF and renewable diesel biorefineries become indispensable pieces of climate infrastructure rather than optional 'green projects,' which strongly underpins long-term demand and pricing power for advanced biorefinery products.

Feedstock Constraints, Land-Use Change and Sustainability Scrutiny Are Tightening the Social Licence for Biorefineries

Even as demand grows, the sector faces mounting scrutiny around the sustainability of feedstocks, indirect land-use change (ILUC) and competition with food and nature, which is increasingly translating into policy risk and market access barriers.

NGOs and some policymakers argue that crop-based biofuels deliver limited net climate benefit and can drive deforestation, biodiversity loss and food price volatility; a recent campaign by Transport & Environment, for instance, urged the European Commission to reject automakers'calls to allow post-2035 combustion cars to run on 'carbon-neutral' biofuels, arguing that sustainable waste-based feedstocks are scarce and should be prioritised for aviation and shipping rather than cars. South Korea has moved to cut biomass subsidies after criticism that large-scale imports of wood pellets were linked to deforestation in Indonesia and elsewhere, signalling a broader reassessment of solid biomass sustainability.

Brazil's leaked proposal ahead of COP30 to quadruple 'sustainable fuels' by 2034 has also triggered debate over whether ramping biofuel production at that scale can be reconciled with forest protection and food security. As certification schemes tighten and NGOs campaign against perceived greenwashing, biorefinery developers must invest more in robust traceability, certification and truly waste- or residue-based feedstock chains, which adds complexity and cost and can slow project development where sustainable biomass supply is uncertain.

What would be the Impact of US Trade Tariffs on the Global Biorefinery Market?

U.S. tariffs on biofuels, bio-based chemicals, feedstocks, and related equipment have the potential to significantly influence the global biorefinery market, affecting trade flows, project economics, and investment decisions. As the United States plays a critical role in bioethanol, renewable diesel, sustainable aviation fuel, and biorefinery technology markets, changes in tariff structures can alter cost competitiveness for both domestic and international producers.

Higher tariffs may raise the cost of imported feedstocks, catalysts, enzymes, and process equipment, while retaliatory measures can restrict export opportunities for U.S.-produced biofuels and biochemicals. The overall market impact depends on the duration of tariffs, policy responses, and the ability of companies to adapt supply chains.

Key Questions Answered

  • How is the biorefinery market evolving?
  • What is driving and restraining the biorefinery market?
  • How will each biorefinery submarket segment grow over the forecast period and how much revenue will these submarkets account for in 2036?
  • How will the market shares for each biorefinery submarket develop from 2026 to 2036?
  • What will be the main driver for the overall market from 2026 to 2036?
  • Will leading biorefinery markets broadly follow the macroeconomic dynamics, or will individual national markets outperform others?
  • How will the market shares of the national markets change by 2036 and which geographical region will lead the market in 2036?
  • Who are the leading players and what are their prospects over the forecast period?
  • What are the biorefinery projects for these leading companies?
  • How will the industry evolve during the period between 2026 and 2036? What are the implications of biorefinery projects taking place now and over the next 10 years?
  • Is there a greater need for product commercialisation to further scale the biorefinery market?
  • Where is the biorefinery market heading and how can you ensure you are at the forefront of the market?
  • What are the best investment options for new product and service lines?
  • What are the key prospects for moving companies into a new growth path and C-suite?

Market Dynamics

Market Driving Factors

  • Increasing Demand for Bio-Based Products Driving the Market Growth
  • Increasing Research and Development are Fuelling Innovation and Creating Opportunities for Improved Biofuel and Biochemical Technologies
  • Technological Advancements in Processing Driving the Market Growth

Market Restraining Factors

  • High Costs of Setting Up Biofuel Feedstock and Plants Hinder the Market.
  • Lack of Process Efficiency and Product Consistency Restrain the Market Growth

Market Opportunities

  • High Investment in Biorefinery Which Produced More SAF and Biomaterials Opportunities for the Market Growth
  • Collaboration and Partnership Between Market Players Opportunities for the Market Growth
  • Expansion of Biorefinery Unit In Developing Economies Opportunities for the Market

Leading Companies Profiled

  • Air Liquide S.A.
  • Archer Daniels Midland Company
  • BP Plc
  • Braskem S.A.
  • China Petroleum & Chemical Corporation (SINOPEC)
  • Cycle0
  • EcoCeres
  • Gevo, Inc.
  • Green Plains Inc.
  • Marathon Petroleum Corporation
  • Neste Oyj
  • Petroleo Brasileiro S.A.
  • Raizen S.A.
  • Total Energies SE
  • Valero Energy Corporation.

Segments Covered in the Report

By Type

  • First-Generation
  • Second & Third-Generation

By Product Type

  • Biofuels
  • Biochemicals
  • Biomaterials

By Conversion Process

  • Biochemical Conversion
  • Thermochemical Conversion
  • Chemical Conversion
  • Mechanical / Physical Processes

By End-Use Sector

  • Transportation Fuels
  • Power Generation
  • Industrial & Chemical
  • Residential & Commercial Heating
  • Other End-use Sectors

By Feedstock

  • Energy Crops
  • Agricultural Residues
  • Forestry Residues
  • Industrial Waste & By-products
  • Organic Municipal Solid Waste (MSW)
  • Algae (Microalgae, Macroalgae)

Full List of Companies Featured

  • Air Liquide S.A.
  • Archer Daniels Midland Company
  • BP Plc
  • Braskem S.A.
  • China Petroleum & Chemical Corporation (SINOPEC)
  • Cycle0
  • EcoCeres
  • Gevo, Inc.
  • Green Plains Inc.
  • Marathon Petroleum Corporation
  • Neste Oyj
  • Petroleo Brasileiro S.A.
  • Raizen S.A.
  • Total Energies SE
  • Valero Energy Corporation
  • Allen Associates
  • Assam Bio Ethanol Private Limited
  • Celtic Renewables
  • Chempolis Oy
  • Cycle0
  • EcoCeres
  • Ecovyst Inc.
  • Engineers India Limited
  • Fraunhofer IGB
  • Green Earth Institute
  • Honeywell International Inc.
  • Japan Airlines Co., Ltd.
  • Microphyt
  • MORISORA Bio Refinery
  • Munster Technological University
  • Nippon Paper Industries
  • Pemex
  • Raizen SA
  • Sumitomo Corporation
  • Technip Energies
  • UPM-Kymmene Corporation
  • Urbaser
  • USA BioEnergy
  • Wagner Sustainable Fuels
  • Zeolyst International
  • Advanced Biofuels Association (ABFA)
  • African Biofuels and Renewable Energy Association (ABREA)
  • Alternative Fuels & Chemicals Coalition (AFCC)
  • American Biofuels Council (ABC)
  • Asia-Pacific Economic Cooperation (APEC) Biofuels Task Force
  • Bioenergy Association of Ukraine (BAU)
  • Bioenergy Australia
  • Biofuels Association of Australia (BAA)
  • Biomass Energy Research Association (BERA)
  • Brazilian Sugarcane Industry Association (UNICA)
  • Canadian Renewable Fuels Association (CRFA)
  • Circular Bio-based Europe Joint Undertaking
  • European Biodiesel Board (EBB)
  • European Bioeconomy Alliance
  • European Biofuels Technology Platform (EBTP)
  • European Investment Bank
  • European Renewable Ethanol Association (ePURE)
  • Global Bioenergy Partnership (GBEP)
  • Global Renewable Fuels Alliance (GRFA)
  • Indian Bioenergy Promotion Society (IBPS)
  • International Biochar Initiative (IBI)
  • International Biomass Energy Association (IBEA)
  • International Energy Agency Bioenergy
  • Japan Bioindustry Association (JBA)
  • National Biodiesel Board (NBB)
  • National Renewable Energy Laboratory (NREL)
  • New Energy and Industrial Technology Development Organization
  • Renewable Energy Association (REA) UK
  • Renewable Fuels Association (RFA)
  • Sustainable Biofuels Innovation Challenge (SBIC)
  • World Bioenergy Association (WBA)

For more information about this report visit https://www.researchandmarkets.com/r/lp273z

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