Core Viewpoint - The sustainable aviation fuel (SAF) market in China is projected to grow significantly from a mere 0.09 million yuan in 2023 to approximately 278.02 billion yuan by 2031, driven by the adoption of cleaner, renewable feedstocks and supportive policies [1][8]. Group 1: Industry Overview - SAF is defined as a non-fossil fuel that meets sustainability standards, utilizing cleaner raw materials such as waste cooking oil and animal fats to replace traditional petroleum-based aviation fuels [2][3]. - SAF can be blended with conventional fuels without requiring modifications to aircraft engines, making it compatible with existing infrastructure [2]. Group 2: Technology Pathways - Various synthesis routes for SAF include HEFA (Hydroprocessed Esters and Fatty Acids), AtJ (Alcohol-to-Jet), FT (Fischer-Tropsch), and PtL (Power-to-Liquid), with HEFA being the most mature and competitive technology [3]. Group 3: Policy Background - China's SAF policies are becoming more structured, with measures such as export controls and green finance initiatives to support industry growth and compliance [4][5]. - In contrast, Europe focuses on legislative compliance and subsidies to drive SAF demand and capacity [4]. Group 4: Industry Chain - The SAF industry chain consists of upstream raw material collection from renewable resources, midstream production using HEFA technology, and downstream supply dominated by major aviation fuel suppliers [6][7]. Group 5: Current Market Status - The SAF market in China is still in a trial phase, with a market size of 0.09 million yuan in 2023 and an expected growth to 1.64 million yuan in 2024, with a long-term projection of 278.02 billion yuan by 2031 [8][9]. - The production capacity for SAF in China is projected to reach 87,000 tons by 2024, with total planned capacity exceeding 5 million tons per year [9]. Group 6: Competitive Landscape - Key players in the SAF production include Haineng Energy, Sinopec, and Jiaao Environmental Protection, with a combined production capacity of 400,000 tons per year [10]. - Jiaao Environmental Protection is expected to produce 37.24 million tons of SAF annually by 2025, following the completion of its biomass energy project [11][12]. Group 7: Development Trends - The SAF industry is moving towards standardization and compliance, with a focus on optimizing raw material utilization and enhancing production efficiency [14]. - The HEFA technology remains dominant in the short term, while future developments may include non-food biomass and electro-fuels, emphasizing carbon reduction and efficiency [14].