SAN FRANCISCO, May 19, 2020 /PRNewswire/ -- The global liquid biofuels market size is expected to reach USD 107.5 billion by 2027, according to a new report by Grand View Research, Inc. It is anticipated to exhibit a revenue-based CAGR of6.4% during the forecast period. Rising oil prices have shifted the focus of end users toward biofuels as an alternative. Moreover, the initiatives taken by major economies including U.S., Brazil, and China for supporting liquid biofuel implementation through substantial tax rebates is expected to spur market growth.
Rising demand for biofuel and growing concerns regarding energy security are other significant factors expected to drive the market growth over the forecast year. North America and European Union have created a market through energy policies which specifies the required rate of incorporation of biofuels in petroleum products.
Key suggestions from the report:
The transportation fuels share was valued at over USD 31790.5 million till 2019.
Asia Pacific is projected to expand at a substantial CAGR throughout the forecast period. Indonesia is expected to account for the largest regional share
U.S. is the primary revenue contributor to the North American biofuel market. The U.S. government has initiated several regulations to reduce their dependency on conventional fuels and carbon emissions
As per the Agricultural and Applied Economics Association Annual Meeting, 2016, 90% of Mexican energy consumption comes from fossil fuels, including transportation sector
In U.K., the bioethanol consumption is expected to increase because of an alteration of mandate in the biofuel legislation
Some of the significant industry participants include Valero Energy Corp.; Petrobras; Butamax; Renewable Energy Corp.; Bunge North America Inc.; Archer Daniels Midland Company; Gevo; Green Plains; Wilmar International; Algenol; and Pacific Ethanol Inc.
Canadian federal government has been planning to announce carbon intensity benchmarks and necessitate all provinces to implement carbon pricing resulting in the rise in consumption of biofuels. Provincial and federal-level programs have initiated to support liquid biofuels consumption in the country.
Few of the market leaders including Green Plains Inc. and Biodico, Inc. are vertically integrated. This provides the companies with advantages in the procurement of raw material and distribution; therefore, helping them achieve economies of scale. Market leaders including Gevo Inc. and Wilmar International are continually refining their core competencies in the fields of supply chain management, project execution, and operational excellence.
Various key players operate globally in order to acquire clients through regional mergers and acquisitions, owing to restricted expansion in the higher-tier segment coupled with the failure of niche players to break the market penetration and furthermore, the customers' reliance on the service provider's expertise holds dominance over suppliers.
Grand View Research has segmented the global liquid biofuel market on the basis of product, application, and region:
Portable Generator Market – Increasing business downtime across the globe, owing to rise in weather-related power outages, has resulted in increasing demand for uninterrupted power supply. This is a major factor driving product demand.
Battery Management System Market – This growth is attributed to the increasing adoption of Electric Vehicles (EVs) and Hybrid Electric Vehicles (HEVs) across the globe owing to stringent policies, such as Kyoto protocol, implemented to curb Greenhouse Gas (GHG) emissions.
Energy Storage Systems Market– Increasing consumer awareness regarding energy efficiency in residential and commercial buildings is expected to be a prominent factor driving new installations in near future.
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About Grand View Research
Grand View Research, U.S.-based market research and consulting company, provides syndicated as well as customized research reports and consulting services. Registered in California and headquartered in San Francisco, the company comprises over 425 analysts and consultants, adding more than 1200 market research reports to its vast database each year. These reports offer in-depth analysis on 46 industries across 25 major countries worldwide. With the help of an interactive market intelligence platform, Grand View Research helps Fortune 500 companies and renowned academic institutes understand the global and regional business environment and gauge the opportunities that lie ahead.