GlobalData's report, "Global Biodiesel Market Analysis and Forecasts to 2020", is an essential source of information and analysis on the global biodiesel market. This report gives an in-depth analysis of the global biodiesel market and provides forecasts up to 2020.
Global Biodiesel Market Analysis and Forecasts to 2020
Sushmita Chaudhuri | GlobalData
Global Biodiesel Market Expected to Produce 45,291 million liters by 2020
Production increased from 959 million liters in 2001 to 15,760 million liters in 2009, at a CAGR of 41.9%. Supported by governments to increase energy independence and meet the rising energy demand, the biodiesel market is expected to produce 45,291 million liters of biodiesel in 2020, representing a CAGR of 10.1% during 2009 to 2020.
Europe is the Leading Biodiesel Market in the World
Europe was the leading biodiesel market in 2009 with a production share of 49.8%, followed by the Americas with a production share of 32.8% and the Asia Pacific with a share of 4.4%. The European share in biodiesel production has been declining since 2001, while the share of the Americas and the Asia Pacific increased. The top five biodiesel producers in the world are the Germany, the US, France, Argentina and Brazil. All of these countries together produce 68.4% of the world’s total biodiesel. Australia is the largest producer of biodiesel in the Asia Pacific, followed by China and India.
Renewable Fuel Standard 2 (RFS) is the Key Driver in the US Biodiesel Market
The US is the second largest producer of biodiesel in the world, producing 17.7% of the world’s biodiesel in 2009. The biodiesel market in the US is expected to reach 2,822 million liters in 2010 and 6,453 million liters in 2020. The US Government has been promoting the production and use of biodiesel through various incentives and policy measures. The Renewable Fuel Standard 2 (RFS) program has been formulated to meet the requirements of the Energy Independence and Security Act of 2007 (EISA). The revised RFS required the use of 11.1 billion gallons of renewable fuels in 2009, which will continue to increase thereafter to reach 36 billion gallons by 2022. According to the RFS 2, biodiesel is categorized as a biomass-based diesel and a minimum of 1 billion gallons is to be produced by 2012, which is over 50% more than the present amount.
Future Outlook for German Biodiesel Market is Bleak
The German biodiesel market is facing a bleak outlook due to the impostion of taxes on green fuels which have made biofuels too expensive for its consumers. Though the country is the largest producer of biodiesel in Europe, the future for the market looks weak. Another factor that has contributed to the negative outlook of the German biodiesel market is the generous export subsidies received by US producers. The EU has now imposed an import tariff on US biodiesel imports to protect the European market. The country has reduced the blending target from 6.8% to 6.3% in 2010, as set out previously in the plan to cut carbon dioxide emissions, although the specific blending mandates for biodiesel will remained unchanged until 2014.
Stimulus Package for Alternative Fuel Vehicle Manufacturing is a Major Driver in the Chinese Biodiesel Market
China has become the world’s largest automotive market in terms of units sold, surpassing the US. This, coupled with the country’s concern for energy security, has led to increased interest from the government in developing the alternative fuel vehicle market in the country. In 2009, the government of China provided a 10 billion yuan ($1.5 billion) subsidy for three years to automakers who upgrade their technology and develop alternative fuel vehicles. This stimulus package will result in rising activity in the biofuels sector in the country.
Spain and Canada are the Key Emerging Biodiesel Markets in the World
The Spanish biodiesel industry is making rapid strides towards increased production. It is already the seventh largest producer of biodiesel in Europe and there are more than 28 biodiesel production plants in the pipeline, which is by far the highest in Europe. This is primarily due to the Spanish Renewable Energy Program (REP), 2005, which kick-started the production of biodiesel. The current regime of full tax exemption for a limited volume of biodiesel is the key incentive system for biodiesel in Spain. The biodiesel industry in Canada is at a nascent stage. The Canadian bioethanol market is driven by the federal government’s mandate to have a renewable fuel content of 5% by 2010. The Canadian Prime Minister Steven Harper announced the ecoENERGY for Biofuels Initiative in 2007, which is investing up to $1.5 billion over nine years to boost the country’s production of renewable fuels by providing operating incentives to producers of renewable fuels. These are part of the government’s Economic Action Plan to encourage a move towards more sustainable energy in future. The country is also planning to come up with the 5% biofuels blending mandate by 2012. When introduced and implemented, these mandates will lead to a rise in biodiesel production in the country.
For further details, visit: www.globaldata.com/reportstore
About GlobalData
GlobalData is an industry analysis specialist company providing business information products and services. Our highly qualified team of Analysts, Researchers, and Solution Consultants use proprietary data sources and various tools and techniques to gather, analyze and represent the latest and the most reliable information essential for businesses to sustain a competitive edge. If you have any queries about this report or would like further information, please contact
North America: +1 646 395 5460
Europe: +44 207 753 4298 +44 161 227 0666
Asia Pacific: +91 40 6616 6700
Email: info@globaldata.com
The content & opinions in this article are the author’s and do not necessarily represent the views of AltEnergyMag
Comments (0)
This post does not have any comments. Be the first to leave a comment below.
Featured Product
Canadian Solar - HiKuBlack - Black Backsheet & Frame (Mono)
Aesthetic appearance for residential systems: With black backsheet & black frame, Power range 380 ~ 405 W, Low power loss in cell connection. Enhanced reliability: · Low temperature coefficient (Pmax): -0.34 % / °C, LID LeTID less than 2.0%, Lower hot spot temperature, Better shading tolerance.
