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

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

Market Dynamics

Market Driving Factors

Market Restraining Factors

Market Opportunities

Leading Companies Profiled

Segments Covered in the Report

By Type

By Product Type

By Conversion Process

By End-Use Sector

By Feedstock

Full List of Companies Featured

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

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