Last week, the U.S. Grains & BioProducts Council’s (USGBC’s) regional office for Southeast Asia & Oceania (SEA&O) traveled to Da Nang, Vietnam to participate in the Asia Sustainable Aviation Fuel (SAF) Association’s Innovation & Policy Summit.
USGBC Deputy Regional Director for SEA&O Chris Markey led the team and was accompanied by USGBC Regional Ethanol Consultant Kent Yeo and USGBC Vietnam Representative Tran Trong Nghia.
“Attended by more than 70 organizations and Vietnam’s ethanol industry regulators and policymakers, including the Vietnam Ministry of Industry & Trade (MOIT), Ministry of Construction (MOC) and Ministry of Science & Technology (MOST), the summit provided a productive platform to interface with key partners and stakeholders shaping the future of ethanol and SAF in Vietnam,” Markey said.
Vietnamese and non-Vietnamese customers also attended the summit of U.S. ethanol, including gasoline blenders, traders and regional energy companies.
During the event, the Council’s team presented on the value propositions of the alcohol-to-jet SAF production pathway, covering global and regional trends, feedstock developments and potential opportunities for Vietnam to leverage its burgeoning ethanol ecosystem not only for gasoline, but also for alternative aviation and marine fuels.
Vietnam’s aviation industry has realized significant growth in the past 10 years, with passenger traffic increasing by more than 120 percent between 2014 and 2024. Continued growth in Vietnam’s aviation industry, coupled with the country’s ambitions for net-zero emissions by 2050 and compulsory CORSIA compliance slated for January 2027, means SAF will be a critical piece to Vietnam’s transportation fuels strategy.
With ample feedstock and multiple demand centers, Vietnam is well positioned to develop a competitive SAF industry that can supply both domestic and regional demand.
Additionally, an upcoming E10 mandate for RON95 gasoline will build on the existing E5 RON92 mandate established in 2018, meaning that by June, all gasoline grades sold in Vietnam will contain ethanol. Together, these policies are expected to generate annual fuel ethanol demand of approximately 240 million gallons.
“Southeast Asia is home to several rapidly developing economies and is one of the world’s fastest growing hubs for air travel, making it a priority for the Council to establish U.S. ethanol as a potential input for the region’s rising SAF demand,” Markey said.
Learn more about the Council’s work in Vietnam on the organization’s website.