Southeast Asia is rapidly positioning itself as a major biofuel exporter, with surplus production expected to flow into Europe, according to Petronas. Speaking at the APPEC conference in Singapore, Ahmad Adly Alias, Petronas’ Vice President of Refining, Marketing and Trading, highlighted that Asia’s annual sustainable aviation fuel (SAF) capacity is set to hit 4 million metric tons by 2030.

“With abundant feedstock access, expanding capacity, and accelerating demand, ASEAN is well-placed to become a net exporter to Europe,” Alias noted.

The Asia-Pacific region is expected to witness the world’s fastest growth in biofuel transport demand, projected to reach 250 million litres annually by 2030. This rising demand underscores the strategic importance of Southeast Asia’s refining and processing capabilities.

Petronas itself is investing heavily in the sector, developing a 650,000-ton per year biorefinery in Pengerang, Johor. The facility, built in partnership with Enilive (Italy’s Eni) and Japan’s Euglena, is scheduled to begin production by the second half of 2028.

With strong feedstock supply and robust investment, Southeast Asia is on track to shape the global renewable fuel landscape.