PUBLISHER: The Business Research Company | PRODUCT CODE: 1681716
PUBLISHER: The Business Research Company | PRODUCT CODE: 1681716
Algae biofuel denotes a renewable energy source derived from algae through processes encompassing cultivation, harvesting, and conversion. Algae possess the capacity to accumulate oils or lipids that can subsequently be extracted and refined into biofuels. This alternative energy source presents a viable substitute for traditional fossil fuels due to algae's rapid and prolific growth in diverse environmental conditions, offering a potential avenue for sustainable energy production while mitigating greenhouse gas emissions.
The primary categories of algae biofuel comprise bioethanol, methane, biodiesel, green diesel, jet fuel, biogasoline, biobutanol, and other variants. Bioethanol, a type of alcohol, is derived from cellulose-rich plants such as sugar cane, sugar beet, or certain grains like corn. Algae biofuel production involves harvesting and cultivation techniques and finds application across various sectors including aerospace, aviation, transportation, and others.
The algae biofuel market research report is one of a series of new reports from The Business Research Company that provides algae biofuel market statistics, including algae biofuel industry global market size, regional shares, competitors with a algae biofuel market share, detailed algae biofuel market segments, market trends and opportunities, and any further data you may need to thrive in the algae biofuel industry. This algae biofuel market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The algae biofuel market size has grown strongly in recent years. It will grow from $8.55 billion in 2024 to $9.37 billion in 2025 at a compound annual growth rate (CAGR) of 9.5%. The growth in the historic period can be attributed to growing awareness of climate change, concerns over energy independence, fluctuations in global oil prices, growing interest from venture capitalists, and increased public awareness of environmental issues.
The algae biofuel market size is expected to see strong growth in the next few years. It will grow to $13.4 billion in 2029 at a compound annual growth rate (CAGR) of 9.4%. The growth in the forecast period can be attributed to corporate sustainability initiatives, rising demand for aviation and marine biofuels, investments in research and development, collaborations between biotechnology firms, anticipated regulations favoring renewable fuels. Major trends in the forecast period include commercial-scale production, integration of algae biofuel production within circular economy frameworks, increased collaborations between biotechnology firms, entry of new startups and companies, growing demand for sustainable aviation fuels (SAF).
The increasing demand for renewable energy sources is poised to drive the expansion of the algae biofuel market in the coming years. Renewable energy encompasses clean energy derived from natural sources or processes that replenish themselves continuously. The rising demand for renewable energy sources stems from heightened awareness of climate change, decreasing costs associated with renewable energy technologies, and a growing societal endorsement of sustainable practices. Algae biofuel presents a sustainable substitute for fossil fuels by harnessing photosynthesis to convert CO2 into energy-dense compounds, potentially curbing greenhouse gas emissions and lessening dependence on finite resources. Its scalability, adaptability, and potential for carbon neutrality position it as a promising element within the renewable energy spectrum. For instance, in January 2024, according to Eurostat, the share of renewable energy in the EU's energy consumption rose to 23.0% in 2022 from 21.9% in 2021. Hence, the escalating demand for renewable energy sources propels the advancement of the algae biofuel market.
Leading companies in the algae biofuel market are adopting strategic partnerships to enhance technology integration and broaden their market presence. A strategic partnership generally refers to a collaborative arrangement between two or more organizations that combine their resources, expertise, and efforts to achieve shared objectives. For example, in March 2022, AECOM, a US-based architecture and engineering firm, joined forces with Genifuel Corporation, a US company specializing in converting organic waste into renewable energy, to transform wild algae and wastewater biosolids into sustainable aviation fuel (SAF) and biogas. This partnership utilizes AECOM's patent-pending algae harvesting technology alongside Genifuel's hydrothermal processing (HTP) method to convert these materials into renewable oil and gas. The initiative also tackles the environmental challenges of harmful algal blooms (HABs) caused by nutrient pollution, which threaten both human health and aquatic ecosystems.
In February 2022, Exxon Mobil Corporation forged a partnership with Viridos Inc. for algae biofuel research. The collaboration aims to advance sustainable algae biofuel technology toward commercial deployment, potentially enabling substantial reductions in greenhouse gas emissions within the heavy transportation sector. Viridos Inc. is a biotechnology firm based in the United States that specializes in developing renewable algae-based biofuels and transformative solutions.
Major companies operating in the algae biofuel market report are Neste Inc; Alfa-Laval AB; Pond Technologies Inc.; Intertek Group plc; EPCM Holdings; PetroTech Holdings Corp.; Synthetic Genomics Inc.; Joule Unlimited Inc.; Reliance Life Sciences Pvt. Ltd.; Algenol Biotech LLC; Heliae Development LLC; Solazyme Inc.; Aurora Biofuels Inc.; AlgaEnergy N.A. Inc.; Sapphire Energy Inc.; Algae Systems LLC; Inventure Renewables Inc.; Genifuels Corporation; Culture BioSystems Inc.; Solix Biofuels Inc.; HutanBio Limited; GreenFuel Technologies Corporation; Cellana Inc.; Manta Biofuel Inc.
North America was the largest region in the algae biofuel market in 2024. Asia Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the algae biofuel market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the algae biofuel market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The algae biofuel market consists of sales of liquid biofuels, solid biofuels, and chemical feedstocks. Values in this market are 'factory gate' values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Algae Biofuel Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on algae biofuel market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for algae biofuel ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The algae biofuel market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The forecasts are made after considering the major factors currently impacting the market. These include the Russia-Ukraine war, rising inflation, higher interest rates, and the legacy of the COVID-19 pandemic.