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Based on renewable source, the on-site solar produced e-kerosene industry will exceed over USD 4.1 billion by 2032. production of e-kerosene requires renewable energy sources such as wind or solar and the rapid expansion of renewable energy infrastructure is a key enabler for scaling e-kerosene production, contributing to market growth.
Based on application, the automotive application wil grow at a CAGR of over 33% through 2032. The automotive sector is exploring e-kerosene as part of a broader shift towards sustainable fuels, particularly for heavy-duty and long-haul vehicles. While electric and hydrogen vehicles dominate the market, e-kerosene is gaining attention for its potential in specialized applications like freight transport, offering a low-carbon alternative to conventional diesel.
The U.S. e-kerosene market will surpass USD 1.8 billion by 2032. The market is gaining traction primarily in the aviation sector as a sustainable alternative to conventional jet fuel. Federal initiatives, such as the Sustainable Aviation Fuel (SAF) Grand Challenge are pushing for the large-scale adoption of alternative fuels like e-kerosene to decarbonize air travel. As regulatory frameworks strengthen around emission reductions, e-kerosene will become significant in specific sectors beyond aviation over the forecast timeline.
Cost competitiveness, consumer awareness, and strong regulatory support are driving the adoption of e-kerosene in Europe. As production technologies improve and economies of scale are realized, the cost of e-kerosene is expected to decline, enhancing its competitiveness against fossil fuels. This reduction in cost is likely to further stimulate market growth in countries across the Europe.