Petrobras ships its first CORSIA-certified SAF batch as the US falls short on canola use

Petrobras sold its first batch of sustainable aviation fuel made with Bunge's CORSIA-certified soybean oil, a concrete step from announcement to delivered product. CORSIA certification is what lets airlines count the fuel against international offset rules, so a verified batch matters more than another pledge. It moves SAF one notch toward routine supply.

Feedstock strains

The feedstock side looks tighter. A biofuel expert said the US is falling well short of expected canola oil use, a gap that matters because oilseed supply sets the ceiling on how much renewable diesel and SAF can be made. Petrobras leaning on soybean oil and others chasing canola points to the same squeeze. Demand for low-carbon fuel is outrunning the crops that feed it.

New routes and capacity

Producers are widening the base. USGBC research argued alcohol fuels offer a practical platform for cutting maritime emissions, opening shipping as a second large market beyond aviation. Allied Biofuels signed a front-end engineering deal with Sinopec Engineering that can roll into full construction, and OMV Petrom locked in placement for part of its future biofuels output starting in 2028.

The fossil counterweight

The backdrop is awkward for the transition. Russia is set to export record oil volumes from its western ports in June, sources told Reuters. Cheap, plentiful fossil crude keeps the price pressure on biofuels, which still cost more per gallon. Mandates and certification carry the sector for now, not spot economics.

What to watch

Watch oilseed supply, since canola and soybean availability caps SAF and renewable diesel output. Track whether CORSIA-certified batches become regular volume or stay one-offs. And watch alcohol-to-maritime projects, since shipping could become the next big biofuel buyer.