Insight Focus
The EU has imposed duties to protect domestic SAF production. The measures make imported SAF more expensive, giving EU producers an advantage. In addition, ReFuelEU mandates SAF blending from to 70% by 2050, while UK rules set higher targets in the short term and limit HEFA use.
EU Targets SAF Imports
The EU has added sustainable aviation fuel (SAF) to its trade defence measures on imports of biofuels from the US, Indonesia and Argentina.
The EU has extended its anti-dumping and anti-subsidy measures, effective September 15, to cover SAF under existing trade defence rules. The move responds to protests from the European biofuel industry and ensures consistent application of EU trade defence measures.
The new measures in the ReFuelEU Aviation Regulation are intended to protect the EU market from unfairly priced or subsidised SAF, create a level playing field for EU-produced fuels, and support domestic SAF production.
Source: USDA
Imports of SAF from the US, Indonesia and Argentina now face combined duties. For example, US SAF is subject to duties of EUR 211–409/tonne, making it more expensive in the EU.
ReFuelEU mandates blending SAF into aviation fuel, starting with 2% in 2025 and rising to 70% by 2050, with specific targets for advanced biofuels and synthetic fuels. By establishing binding requirements for all flights originating in the EU, the regulation aims to create a stable and competitive environment for SAF, encouraging investment and production within the EU to meet climate goals.
Source: EU Commission
EU and UK SAF Rules Drive Market Change
According to various sources, SAF mandates are reshaping the aviation fuel market. The EU and UK impose steep non-compliance penalties, turning regulatory requirements into a strategic lever for those who act early. Non-compliance is costly. Penalties range from two to 13 times the cost of compliance, particularly in the UK, making long-term planning essential to mitigate risk.
Beginning in 2025, ReFuelEU mandated that aviation fuel suppliers offer a minimum percentage of SAF and e-SAF (SAF produced from renewable energy sources) at EU airports. By 2030, suppliers must blend at least 6% SAF, including 1.2% e-SAF.
To discourage tankering practices (carrying excess fuel for return trips, which increases emissions), ReFuelEU Aviation requires airline operators to refuel at least 90% of their annual aviation fuel needs at the EU airport of departure.
In parallel, the UK Department for Transport (DfT) mandates a higher SAF blend of 9.5% by 2030 and places greater emphasis on reducing reliance on hydrogenated esters and fatty acids (HEFA) SAF, which face eventual feedstock supply limits. HEFA’s allowable share will decline annually, from 100% in 2025 to 42% in 2040.
Source: Gov.uk
More information can be found at the website of the EU Aviation Safety Agency (EASA) HERE.
