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North America Biodiesel Market
Updated On

Mar 21 2025

Total Pages

350

North America Biodiesel Market Unlocking Growth Potential: 2025-2033 Analysis and Forecasts

North America Biodiesel Market by Feedstock (Animal fat, Vegetable oil, Others), by Application (Transportation, Power generation, Others), by North America (U.S., Canada) Forecast 2025-2033

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North America Biodiesel Market Unlocking Growth Potential: 2025-2033 Analysis and Forecasts

Key Insights

The North American biodiesel market, valued at $14.7 billion in 2025, is projected to experience robust growth, driven by increasing government mandates for renewable fuels, rising environmental concerns, and the expanding transportation and power generation sectors. A Compound Annual Growth Rate (CAGR) of 7.4% from 2025 to 2033 signifies a significant market expansion. Key drivers include stringent emission regulations pushing for cleaner fuel alternatives, growing awareness of the environmental benefits of biodiesel compared to fossil fuels, and increasing investments in renewable energy infrastructure. The market segmentation reveals a strong demand across diverse applications, with transportation likely dominating due to its compatibility with existing diesel engines. The feedstock segment is characterized by a significant contribution from animal fat and vegetable oils, reflecting both the readily available resources and the ongoing research into maximizing yield and efficiency from various sources. Major players like Archer Daniels Midland Company (ADM), Cargill, and Renewable Energy Group are strategically positioning themselves to capitalize on this growth, driving innovation and competition within the sector. While challenges such as feedstock price volatility and potential competition from other renewable fuels exist, the long-term outlook remains positive, supported by continued government support and growing consumer preference for sustainable energy solutions.

The market's growth trajectory is also influenced by technological advancements in biodiesel production, leading to higher efficiency and reduced costs. Furthermore, increasing collaborations between biodiesel producers and automotive manufacturers are facilitating the development of optimized engines and fuels. The regional focus on North America, specifically the U.S. and Canada, reflects the strong regulatory environment and established infrastructure supporting the biodiesel industry. While data for other regions is unavailable, it is expected that global market trends will influence the overall growth of the North American market. The historical period (2019-2024) likely showed varying growth rates influenced by factors like fluctuating oil prices and policy changes; however, the steady 7.4% CAGR forecast for 2025-2033 indicates a sustained upward trend. This continued growth trajectory points towards a substantial increase in market size by 2033, creating opportunities for both established players and new entrants to participate in this dynamic sector.

North America Biodiesel Market Research Report - Market Size, Growth & Forecast

North America Biodiesel Market Concentration & Characteristics

The North American biodiesel market is moderately concentrated, with a few large players like Archer Daniels Midland (ADM), Bunge Ltd., and Cargill holding significant market share. However, a considerable number of smaller, regional producers also contribute to the overall market volume. Innovation is driven by advancements in feedstock utilization (e.g., exploring non-food sources), process efficiency improvements, and the development of biodiesel blends with enhanced performance characteristics.

  • Concentration Areas: Midwest and Gulf Coast regions due to strong agricultural presence and established infrastructure.
  • Characteristics of Innovation: Focus on reducing production costs, improving fuel quality, and expanding feedstock options beyond traditional sources like soybean oil.
  • Impact of Regulations: Government mandates and incentives (e.g., Renewable Fuel Standard (RFS) in the US) significantly influence market growth and investment decisions. Changes in regulatory frameworks can create both opportunities and challenges.
  • Product Substitutes: Petroleum diesel remains the primary competitor, though biodiesel's environmental benefits and potential for blending are key differentiators. Other renewable alternatives like renewable diesel and sustainable aviation fuel also compete for market share.
  • End User Concentration: Transportation sector (heavy-duty vehicles, trucking, and public transportation) dominates the end-user landscape.
  • Level of M&A: The market has witnessed significant mergers and acquisitions, reflecting consolidation trends and a drive for increased production capacity and market dominance (e.g., Chevron's acquisition of Renewable Energy Group).

North America Biodiesel Market Trends

The North American biodiesel market is experiencing robust growth, driven by several key trends. Stringent environmental regulations aimed at reducing greenhouse gas emissions are pushing for greater adoption of biofuels, with biodiesel playing a pivotal role. Furthermore, increasing consumer awareness of sustainable transportation solutions is boosting demand for biodiesel as a cleaner alternative to conventional diesel fuel. Technological advancements in feedstock processing and production efficiency are also contributing to cost reductions, enhancing the market's competitiveness. The rising prices of conventional diesel fuel are making biodiesel a more economically viable option, further propelling market expansion. Finally, significant investments in research and development (R&D) are focused on exploring novel feedstock sources, improving biodiesel quality, and reducing its environmental footprint. This includes exploring waste streams and algae as sustainable feedstock options. Government incentives and policies supporting the use of renewable fuels are also playing a significant role in fostering market growth. However, challenges such as feedstock price volatility and the need for sustainable feedstock sourcing remain crucial considerations for long-term market development. The expansion of blending infrastructure and the development of superior biodiesel blends tailored to specific applications are expected to shape the market's trajectory in the coming years.

North America Biodiesel Market Growth

Key Region or Country & Segment to Dominate the Market

The United States is the dominant market within North America, owing to its larger population, significant agricultural production (providing ample feedstock), established infrastructure, and robust policy support through the Renewable Fuel Standard (RFS). Canada, while smaller, also exhibits considerable growth potential driven by similar factors.

Within the feedstock segment, vegetable oils (primarily soybean oil) currently hold the largest market share, due to their established supply chains and relative cost-effectiveness. However, other feedstocks like animal fats are gaining traction owing to their sustainability aspects and potential to further reduce reliance on food crops. The transportation application segment is the most significant end-use sector for biodiesel in North America, driven by increasing demand for cleaner transportation fuels in various sectors such as trucking, buses, and trains.

  • Dominant Region: United States
  • Dominant Feedstock: Vegetable oils (Soybean oil) with increasing adoption of animal fats.
  • Dominant Application: Transportation

North America Biodiesel Market Product Insights Report Coverage & Deliverables

This report provides a comprehensive analysis of the North American biodiesel market, covering market size and growth projections, key trends, competitive landscape, and regional variations. It delves into specific product segments (feedstocks and applications), highlighting the market share of each and future growth potentials. Detailed insights into market drivers, restraints, and emerging trends are provided, along with profiles of key market players and their strategies. The report also offers forecasts for various market segments, allowing stakeholders to make informed strategic decisions.

North America Biodiesel Market Analysis

The North American biodiesel market is valued at approximately $15 billion in 2024. The market is projected to witness a Compound Annual Growth Rate (CAGR) of around 7% from 2024 to 2030, reaching an estimated value of $25 billion by 2030. This robust growth is driven by favorable government policies, environmental concerns, and the increasing demand for sustainable transportation fuels. Market share is currently fragmented among several players, with a few large multinational corporations dominating and smaller, regional players occupying niches. Future market growth will depend heavily on technological advancements, feedstock availability, and continued government support.

North America Biodiesel Market Regional Insights

  • North America
    • U.S.
      • Feedstock: Vegetable Oil (Soybean oil), Animal Fat, Others
      • Application: Transportation, Power Generation, Others
    • Canada
      • Feedstock: Vegetable Oil (Canola oil), Animal Fat, Others
      • Application: Transportation, Power Generation, Others

Driving Forces: What's Propelling the North America Biodiesel Market

  • Stringent environmental regulations promoting renewable fuels.
  • Increasing demand for sustainable transportation solutions.
  • Government incentives and mandates (e.g., RFS).
  • Rising crude oil prices making biodiesel more competitive.
  • Technological advancements in production efficiency and feedstock utilization.

Challenges and Restraints in North America Biodiesel Market

  • Feedstock price volatility and supply chain disruptions.
  • Competition from other renewable fuels (e.g., renewable diesel).
  • High initial investment costs for biodiesel production facilities.
  • Infrastructure limitations for biodiesel distribution and blending.

Emerging Trends in North America Biodiesel Market

  • Growing use of waste-based feedstocks (e.g., used cooking oil).
  • Development of advanced biodiesel blends with improved properties.
  • Increased integration of biodiesel production with other biorefineries.
  • Exploration of novel feedstocks like algae and other non-food sources.

North America Biodiesel Industry News

  • March 2024: Chevron idles two biodiesel production facilities in the U.S.
  • 2022: Chevron acquires Renewable Energy Group for USD 3.15 billion.
  • November 2022: UAV (United Airlines Ventures) invests in NEXT Renewable Fuels to develop a bio-refinery in the U.S.

Leading Players in the North America Biodiesel Market

North America Biodiesel Market Segmentation

  • 1. Feedstock
    • 1.1. Animal fat
    • 1.2. Vegetable oil
    • 1.3. Others
  • 2. Application
    • 2.1. Transportation
    • 2.2. Power generation
    • 2.3. Others

North America Biodiesel Market Segmentation By Geography

  • 1. North America
    • 1.1. U.S.
    • 1.2. Canada
North America Biodiesel Market Regional Share

North America Biodiesel Market REPORT HIGHLIGHTS

AspectsDetails
Study Period 2019-2033
Base Year 2024
Estimated Year 2025
Forecast Period2025-2033
Historical Period2019-2024
Growth RateCAGR of 7.4% from 2019-2033
Segmentation
    • By Feedstock
      • Animal fat
      • Vegetable oil
      • Others
    • By Application
      • Transportation
      • Power generation
      • Others
  • By Geography
    • North America
      • U.S.
      • Canada

Table of Contents

  1. 1. Introduction
    • 1.1. Research Scope
    • 1.2. Market Segmentation
    • 1.3. Research Methodology
    • 1.4. Definitions and Assumptions
  2. 2. Executive Summary
    • 2.1. Introduction
  3. 3. Market Dynamics
    • 3.1. Introduction
      • 3.2. Market Drivers
        • 3.2.1 Rising demand for sustainable energy
        • 3.2.2 Fluctuating oil prices
      • 3.3. Market Restrains
        • 3.3.1. Feedstock availability and cost
      • 3.4. Market Trends
  4. 4. Market Factor Analysis
    • 4.1. Porters Five Forces
    • 4.2. Supply/Value Chain
    • 4.3. PESTEL analysis
    • 4.4. Market Entropy
    • 4.5. Patent/Trademark Analysis
  5. 5. North America Biodiesel Market Analysis, Insights and Forecast, 2019-2031
    • 5.1. Market Analysis, Insights and Forecast - by Feedstock
      • 5.1.1. Animal fat
      • 5.1.2. Vegetable oil
      • 5.1.3. Others
    • 5.2. Market Analysis, Insights and Forecast - by Application
      • 5.2.1. Transportation
      • 5.2.2. Power generation
      • 5.2.3. Others
    • 5.3. Market Analysis, Insights and Forecast - by Region
      • 5.3.1. North America
  6. 6. Competitive Analysis
    • 6.1. Market Share Analysis 2024
      • 6.2. Company Profiles
        • 6.2.1 AG Processing Inc.
          • 6.2.1.1. Overview
          • 6.2.1.2. Products
          • 6.2.1.3. SWOT Analysis
          • 6.2.1.4. Recent Developments
          • 6.2.1.5. Financials (Based on Availability)
        • 6.2.2 Abellon Clean Energy
          • 6.2.2.1. Overview
          • 6.2.2.2. Products
          • 6.2.2.3. SWOT Analysis
          • 6.2.2.4. Recent Developments
          • 6.2.2.5. Financials (Based on Availability)
        • 6.2.3 ALTRET GREENFUELS LIMITED
          • 6.2.3.1. Overview
          • 6.2.3.2. Products
          • 6.2.3.3. SWOT Analysis
          • 6.2.3.4. Recent Developments
          • 6.2.3.5. Financials (Based on Availability)
        • 6.2.4 Archer Daniels Midland Company (ADM)
          • 6.2.4.1. Overview
          • 6.2.4.2. Products
          • 6.2.4.3. SWOT Analysis
          • 6.2.4.4. Recent Developments
          • 6.2.4.5. Financials (Based on Availability)
        • 6.2.5 Anellotech
          • 6.2.5.1. Overview
          • 6.2.5.2. Products
          • 6.2.5.3. SWOT Analysis
          • 6.2.5.4. Recent Developments
          • 6.2.5.5. Financials (Based on Availability)
        • 6.2.6 Bunge Ltd.
          • 6.2.6.1. Overview
          • 6.2.6.2. Products
          • 6.2.6.3. SWOT Analysis
          • 6.2.6.4. Recent Developments
          • 6.2.6.5. Financials (Based on Availability)
        • 6.2.7 Cargill
          • 6.2.7.1. Overview
          • 6.2.7.2. Products
          • 6.2.7.3. SWOT Analysis
          • 6.2.7.4. Recent Developments
          • 6.2.7.5. Financials (Based on Availability)
        • 6.2.8 Clariant
          • 6.2.8.1. Overview
          • 6.2.8.2. Products
          • 6.2.8.3. SWOT Analysis
          • 6.2.8.4. Recent Developments
          • 6.2.8.5. Financials (Based on Availability)
        • 6.2.9 Chevron Corporation
          • 6.2.9.1. Overview
          • 6.2.9.2. Products
          • 6.2.9.3. SWOT Analysis
          • 6.2.9.4. Recent Developments
          • 6.2.9.5. Financials (Based on Availability)
        • 6.2.10 FutureFuel Corporation
          • 6.2.10.1. Overview
          • 6.2.10.2. Products
          • 6.2.10.3. SWOT Analysis
          • 6.2.10.4. Recent Developments
          • 6.2.10.5. Financials (Based on Availability)
        • 6.2.11 Greenergy
          • 6.2.11.1. Overview
          • 6.2.11.2. Products
          • 6.2.11.3. SWOT Analysis
          • 6.2.11.4. Recent Developments
          • 6.2.11.5. Financials (Based on Availability)
        • 6.2.12 Manuelita S.A.
          • 6.2.12.1. Overview
          • 6.2.12.2. Products
          • 6.2.12.3. SWOT Analysis
          • 6.2.12.4. Recent Developments
          • 6.2.12.5. Financials (Based on Availability)
        • 6.2.13 Renewable Energy Group
          • 6.2.13.1. Overview
          • 6.2.13.2. Products
          • 6.2.13.3. SWOT Analysis
          • 6.2.13.4. Recent Developments
          • 6.2.13.5. Financials (Based on Availability)
        • 6.2.14 Renewable Biofuels Inc.
          • 6.2.14.1. Overview
          • 6.2.14.2. Products
          • 6.2.14.3. SWOT Analysis
          • 6.2.14.4. Recent Developments
          • 6.2.14.5. Financials (Based on Availability)
        • 6.2.15 TerraVia Holdings Inc.
          • 6.2.15.1. Overview
          • 6.2.15.2. Products
          • 6.2.15.3. SWOT Analysis
          • 6.2.15.4. Recent Developments
          • 6.2.15.5. Financials (Based on Availability)
        • 6.2.16 Total Energies
          • 6.2.16.1. Overview
          • 6.2.16.2. Products
          • 6.2.16.3. SWOT Analysis
          • 6.2.16.4. Recent Developments
          • 6.2.16.5. Financials (Based on Availability)
        • 6.2.17 Universal Biofuels Private Limited
          • 6.2.17.1. Overview
          • 6.2.17.2. Products
          • 6.2.17.3. SWOT Analysis
          • 6.2.17.4. Recent Developments
          • 6.2.17.5. Financials (Based on Availability)
        • 6.2.18 Wilmar International Ltd.
          • 6.2.18.1. Overview
          • 6.2.18.2. Products
          • 6.2.18.3. SWOT Analysis
          • 6.2.18.4. Recent Developments
          • 6.2.18.5. Financials (Based on Availability)
        • 6.2.19 Washwell Biodiesel
          • 6.2.19.1. Overview
          • 6.2.19.2. Products
          • 6.2.19.3. SWOT Analysis
          • 6.2.19.4. Recent Developments
          • 6.2.19.5. Financials (Based on Availability)

List of Figures

  1. Figure 1: North America Biodiesel Market Revenue Breakdown (Billion, %) by Product 2024 & 2032
  2. Figure 2: North America Biodiesel Market Share (%) by Company 2024

List of Tables

  1. Table 1: North America Biodiesel Market Revenue Billion Forecast, by Region 2019 & 2032
  2. Table 2: North America Biodiesel Market Revenue Billion Forecast, by Feedstock 2019 & 2032
  3. Table 3: North America Biodiesel Market Revenue Billion Forecast, by Application 2019 & 2032
  4. Table 4: North America Biodiesel Market Revenue Billion Forecast, by Region 2019 & 2032
  5. Table 5: North America Biodiesel Market Revenue Billion Forecast, by Feedstock 2019 & 2032
  6. Table 6: North America Biodiesel Market Revenue Billion Forecast, by Application 2019 & 2032
  7. Table 7: North America Biodiesel Market Revenue Billion Forecast, by Country 2019 & 2032
  8. Table 8: U.S. North America Biodiesel Market Revenue (Billion) Forecast, by Application 2019 & 2032
  9. Table 9: Canada North America Biodiesel Market Revenue (Billion) Forecast, by Application 2019 & 2032

STEP 1 - Identification of Relevant Samples Size from Population Database

Step Chart
bar chart
method chart

STEP 2 - Approaches for Defining Global Market Size (Value, Volume* & Price*)

approach chart
Top-down and bottom-up approaches are used to validate the global market size and estimate the market size for manufactures, regional segemnts, product and application.

Note* : In applicable scenarios

STEP 3 - Data Sources

Primary Research

  • Web Analytics
  • Survey Reports
  • Research Institute
  • Latest Research Reports
  • Opinion Leaders

Secondary Research

  • Annual Reports
  • White Paper
  • Latest Press Release
  • Industry Association
  • Paid Database
  • Investor Presentations
approach chart

STEP 4 - Data Triangulation

Involves using different sources of information in order to increase the validity of a study

These sources are likely to be stakeholders in a program - participants, other researchers, program staff, other community members, and so on.

Then we put all data in single framework & apply various statistical tools to find out the dynamic on the market.

During the analysis stage, feedback from the stakeholder groups would be compared to determine areas of agreement as well as areas of divergence

Additionally after gathering mix and scattered data from wide range of sources, data is triangull- ated and correlated to come up with estimated figures which are further validated through primary mediums, or industry experts, opinion leader.

Frequently Asked Questions

1. What is the projected Compound Annual Growth Rate (CAGR) of the North America Biodiesel Market?

The projected CAGR is approximately 7.4%.

2. Which companies are prominent players in the North America Biodiesel Market?

Key companies in the market include AG Processing, Inc., Abellon Clean Energy, ALTRET GREENFUELS LIMITED, Archer Daniels Midland Company (ADM), Anellotech, Bunge Ltd., Cargill, Clariant, Chevron Corporation, FutureFuel Corporation, Greenergy, Manuelita S.A., Renewable Energy Group, Renewable Biofuels, Inc., TerraVia Holdings, Inc., Total Energies, Universal Biofuels Private Limited, Wilmar International Ltd., Washwell Biodiesel.

3. What are the main segments of the North America Biodiesel Market?

The market segments include Feedstock, Application.

4. Can you provide details about the market size?

The market size is estimated to be USD 14.7 Billion as of 2022.

5. What are some drivers contributing to market growth?

Rising demand for sustainable energy. Fluctuating oil prices.

6. What are the notable trends driving market growth?

N/A

7. Are there any restraints impacting market growth?

Feedstock availability and cost.

8. Can you provide examples of recent developments in the market?

In March 2024, Chevron has idled two biodiesel production facilities of production in the U.S. Chevron has acquired Renewable Energy Group for USD 3.15 billion in 2022 to boost its biofuels production to 1 lakh barrels per day by 2030.

9. What pricing options are available for accessing the report?

Pricing options include single-user, multi-user, and enterprise licenses priced at USD 4,850, USD 5,350, and USD 7,350 respectively.

10. Is the market size provided in terms of value or volume?

The market size is provided in terms of value, measured in Billion.

11. Are there any specific market keywords associated with the report?

Yes, the market keyword associated with the report is "North America Biodiesel Market," which aids in identifying and referencing the specific market segment covered.

12. How do I determine which pricing option suits my needs best?

The pricing options vary based on user requirements and access needs. Individual users may opt for single-user licenses, while businesses requiring broader access may choose multi-user or enterprise licenses for cost-effective access to the report.

13. Are there any additional resources or data provided in the North America Biodiesel Market report?

While the report offers comprehensive insights, it's advisable to review the specific contents or supplementary materials provided to ascertain if additional resources or data are available.

14. How can I stay updated on further developments or reports in the North America Biodiesel Market?

To stay informed about further developments, trends, and reports in the North America Biodiesel Market, consider subscribing to industry newsletters, following relevant companies and organizations, or regularly checking reputable industry news sources and publications.

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