China’s Green Jet Fuel Expansion Raises Pressure on Global Feedstock Supply

Chinese state-owned energy companies are rapidly expanding sustainable aviation fuel production, in a state-backed buildout that could tighten global supplies of a key raw material heavily relied on by European airlines.

Driven by national strategic priorities, China announced 16 new sustainable aviation fuel (SAF) projects in the first half of 2026, compared with four in the rest of the world, according to BloombergNEF. State-owned enterprises including China Petroleum and Chemical Corp., or Sinopec, and China National Petroleum Corp. accounted for nearly half of the new developments, marking a shift in a sector previously led by private refiners.