Sustainable Marine Fuel Market: By Type (Hydrogen, Ammonia, Methanol, Biofuels, and Others), By Application (Tankers, Barges, Vessels, Tugboats, Defense Vessels, Ferries, Yachts, and Others), By Conversion Process (Fisher-Tropsch Synthesis, Anaerobic Digestion, Hydrothermal Liquefaction & Partial Hydrotreating, and Others), and Geography

Sustainable Marine Fuel Market size was valued at USD 810 million in 2023 and is expected to grow at a compound annual growth rate (CAGR) of 35.6% from 2024 to 2030 to reach USD 6,828.1 million in 2030. The sustainable marine fuel market refers to the market for alternative fuels used in maritime transportation that are considered environmentally sustainable. These fuels are aimed at reducing greenhouse gas emissions and other environmental impacts associated with traditional marine fuels like heavy fuel oil (HFO) and marine diesel oil (MDO). Sustainable marine fuels also referred to as biofuels or alternative marine fuels, are sourced from renewable origins. They can be employed alongside conventional marine fuels or independently, offering flexibility in reducing environmental impact. Stringent environmental regulations targeting carbon emissions in maritime transport are the primary drivers of the sustainable marine fuel market.

Governments globally are promoting the use of these fuels with subsidies and tax incentives, prompting shipowners to embrace cleaner fuel technologies. Furthermore, increasing consumer awareness and corporate sustainability efforts are further propelling market expansion. Despite these positive trends, several obstacles impede the widespread uptake of sustainable marine fuels. These include elevated production expenses, inadequate infrastructure for fuel distribution, and technical compatibility challenges with current ship engines. Additionally, uncertainties surrounding long-term fuel availability and the scalability of production continue to present significant concerns for industry stakeholders.

Sustainable Marine Fuel Market Key Developments:

• In February 2024, Evergreen Marine Corporation, one of the world’s largest container shipping lines, signed a memorandum of agreement (MOA) with X-Press Feeders, the world’s largest independent common carrier. The agreement aims to place Evergreen’s containers on X-Press Feeders’ new dual-fuel green methanol vessels. These vessels will operate within Europe and will be powered by green methanol, which is a renewable energy source.
• In May 2024, Bureau Veritas, a classification society, gave Genevos the approval in principle for its recently introduced 250 kW Hydrogen Power Module naval fuel cell. With the introduction of the HPM-250, a next-generation maritime fuel cell, Genevos has achieved a significant advancement in its development plan.