Core Insights - The A-share biodiesel sector experienced a significant surge, driven by the strong debut of Fengbei Bio on the Shanghai Stock Exchange and increasing global support for sustainable aviation fuel (SAF) procurement and application [1] Industry Overview - Fengbei Bio, a high-tech enterprise in waste resource utilization, focuses on producing resource-based products from waste oils. The company has established a stable partnership with Haineng Energy, which is expected to benefit from the rising demand for industrial-grade blended oils due to the growth of the SAF and biodiesel industries [2] - Haineng Energy has been deeply involved in the biodiesel sector for years, aiming to become a leading global operator in green energy and chemical products. The company is enhancing its raw material supply system and diversifying its sources to ensure stable procurement and cost control [2] Market Demand - According to the International Energy Agency (IEA), global biodiesel consumption is projected to grow from approximately 42.42 million tons in 2023 to 59.93 million tons by 2028, representing a compound annual growth rate (CAGR) of about 7.16%. Both Fengbei Bio and Haineng Energy are positioned to benefit from this increasing demand [3] Policy and Regulatory Environment - The global push for bioenergy is gaining momentum, with applications expanding from ground transportation to aviation and marine fuels. New regulations in Singapore mandate that all departing flights must use at least 1% SAF by 2026, increasing to 3-5% by 2030, indicating significant progress in decarbonizing transportation [4] - The European market is also a key focus, with the EU set to implement large-scale SAF blending mandates starting in 2025. The International Civil Aviation Organization (ICAO) will enforce carbon offset responsibilities by 2027, creating substantial market opportunities for SAF [4] Company Developments - Haineng Energy has received necessary certifications for SAF and has begun supplying its products to domestic clients, including China National Aviation Fuel Group. The company has also secured overseas orders, indicating a strong production schedule for the fourth quarter [5] - The shipping industry is increasingly adopting biodiesel as a certified fuel for reducing carbon emissions, with significant growth expected in the use of biofuels for shipping by the end of the 14th Five-Year Plan, potentially reaching 15-20 million tons annually [5][6]

Core Points - Fengbei Bio, a leading company in the comprehensive utilization of oil resources, officially listed on the Shanghai Stock Exchange on November 5 [1][5] - On its first trading day, Fengbei Bio opened at 66.00 CNY per share, a 169.50% increase from the issue price, reaching a peak of 76.00 CNY, which is a 210.33% rise, and closing at 66.76 CNY, up 172.60%, with a total market capitalization of 9.58 billion CNY [2][5] Company Overview - Fengbei Bio has established itself in the green sector of oil resource utilization, creating a circular industry model of "oil raw materials - biofuels - bio-based materials" [5] - The company has been recognized as a national-level "specialized and innovative" small giant, holding 139 patents, including 33 domestic invention patents and 3 international invention patents [5][9] - Fengbei Bio's products are exported globally and have received international certifications, including the EU ISCC [5] Future Outlook - The company aims to focus on core business areas and deepen innovation, investing in cutting-edge technology research related to oil resource utilization [5] - Fengbei Bio plans to contribute to the national "dual carbon" goals through the large-scale application of green oil resources in bio-based materials, bio-aviation fuel, and bio-marine fuel [5] Market Impact - The successful listing of Fengbei Bio is seen as a significant milestone for the company and a new starting point for its development [5][9] - The listing is expected to provide strong support for Fengbei Bio to become a global leader in oil resource utilization and inject momentum into the capital market in Zhangjiagang [9][11]

Report Industry Investment Rating - Not provided in the content Core Views of the Report - The development of biofuel industries in India, Malaysia, Thailand, and Singapore is driven by the need for energy transition, emission reduction, and enhanced energy security. Each country has distinct development models based on its resource endowment and policy orientation, with biofuels showing significant potential in replacing traditional fossil fuels, but also facing various challenges [3][4][5] Summary by Relevant Catalogs Biofuel Industry Development Background - The energy demand in South and Southeast Asia is rising due to population growth, economic development, and urbanization. To meet emission reduction targets and enhance energy autonomy, countries are turning to biofuels, with different development routes based on their resource endowments [9] Fuel Ethanol Industry Analysis India: E20 Target Achieved Ahead of Schedule, with Controversies and Opportunities - India has become a major global producer and consumer of fuel ethanol, achieving significant economic and environmental benefits. Policy is the core driver, with the E20 target advanced to 2025. However, challenges such as raw material supply and vehicle compatibility remain. The government is promoting raw material diversification and capacity expansion, but corn price increases may cause inflation, and raw material supply is subject to climate and food security risks [11][20][21] Thailand: Accelerated Development of Electric Vehicles, Fuel Ethanol to Gradually Yield - Thailand is a major producer and consumer of fuel ethanol in Southeast Asia, with development driven by policies. However, the rapid rise of electric vehicles is squeezing fuel ethanol demand. In the short term, fuel ethanol still plays a transitional role, but in the long term, the industry may need to explore exports or alternative uses. Raw material supply is affected by weather, and future capacity may need to be digested through new channels [30][31][33] Biodiesel Industry Analysis Malaysia: Blending Policy Implementation Encountered Hurdles, B20 Temporarily Implemented Locally - Malaysia's biodiesel industry, based on palm oil, has been steadily developing under policy promotion but faces challenges such as production fluctuations and shrinking export markets. The B20 and B30 plans have been delayed due to infrastructure and investment issues. The industry relies on domestic palm oil resources, and current production capacity is about 2.7 billion liters, with efforts being made to upgrade facilities and develop HVO [37][38][47] Singapore: Explosive Growth in Demand for Bio - Marine Fuels, Promising Future - Singapore, as the world's largest marine fuel bunkering port, has seen a rapid increase in demand for bio - marine fuels. Policy goals have created growth space for biofuel consumption, and market - driven demand has led to a significant increase in sales. An investment project is under construction to expand production capacity [48][49][52] Sustainable Aviation Fuel Industry Analysis SAF is in the Initial Stage with Great Development Potential - The development of SAF is crucial for the aviation industry to reduce carbon emissions. India, Thailand, Malaysia, and Singapore have all set SAF blending targets and are taking measures in policy, technology, and capacity building. However, challenges such as high investment and high prices need to be addressed [54][55][56] Impact of Biofuel Development on Petroleum Consumption - The development of biofuel industries in the four countries has effectively replaced traditional fossil fuel consumption. In the fuel ethanol sector, India has achieved significant substitution results, while Thailand's substitution effect may peak and then decline. In the biodiesel sector, Malaysia is steadily replacing traditional diesel, and Singapore's bio - marine fuel demand is growing rapidly. In the aviation sector, SAF is expected to replace a considerable amount of traditional aviation kerosene in the future [61] Summary and Outlook - Biofuels are becoming an important alternative to traditional fossil fuels. The four countries have different development models, with India excelling in fuel ethanol, Thailand facing challenges in ethanol development, Malaysia making progress in biodiesel with implementation bottlenecks, and Singapore having a bright future in bio - marine fuels. All four countries have potential in SAF. In the future, India's ethanol industry has prospects but needs to address challenges, Thailand's ethanol may yield to electric vehicles, Malaysia's biodiesel has potential but needs to solve problems, and bio - marine fuels and SAF will be more important, with Singapore leading in the bio - marine fuel market [67][68]