Platts proposes to launch SAF FOB China assessment in May

Platts, part of S&P Global Energy, announced Feb. 11 that it is proposing to launch a daily neat sustainable aviation fuel (SAF) HEFA-SPK price assessment on a free-on-board (FOB) China basis effective May 4.

China approved an exportable SAF quota of 1.2 million metric tons in 2025.

The country’s SAF capacity and production are on track to grow further in 2026 , supported by available used cooking oil (UCO) and feedstock resources.

The proposed Platts SAF FOB China assessment would consider SAF with a cargo size of 1,000 metric tons to 5, 000 metric tons, while the assessment would be basis 5,000 metric tons.

Parcel sizes higher than 5,000 metric tons may be taken into consideration but would be normalized to the assessed volume range.

The proposed assessment would reflect SAF cargoes loading 15 days to 30 days forward from the date of publication, basis China ports of Rizhao, Lianyungang and Zhangjiagang.

SAF loading in other China ports, including Tianjin, Dongying, Shanghai and Qinzhou, would also be considered but may be normalized to the basis ports.

The proposed assessment would reflect ASTM D7566 and China’s national standard ASTM D6537 (as outlined in GB6537-2025, to be implemented from Sept. 1, 2026) specifications for synthesized paraffinic kerosene from hydroprocessed esters and fatty acids (SPK-HEFA), with a relative density of 760 kilograms per cubic meter (at 15 degrees Celsius).

The assessment would reflect SAF produced from Renewable Energy Directive-compliant feedstocks, excluding palm fatty acid distillates, and reflect minimum greenhouse-gas (GHG) savings of 80 percent.

Other GHG-savings levels may be considered but would be normalized to the minimum 80 percent basis level.

The assessment would reflect ISCC EU-certified cargoes.

ISCC CORSIA-certified cargoes would also be considered, but may be normalized.

The assessment would be published as an outright price in dollars per metric ton.

A conversion to dollars per barrel would be published by applying a metric-ton-to-barrel conversion factor of 8.276.

Platts also proposes to publish a calculated SAF FOB China premium over the Platts Jet Kero FOB Spore assessed forward strip (AAPJZ00), including a conversion to dollars per barrel.

The calculated SAF premium would be derived from the outright price assessments and the forward strip.

The specifications of the SAF FOB Straits premium would be the same as the outright price proposed above.

The proposed SAF FOB China assessment would consider market information reported to Platts and published throughout the day, including firm bids and offers, transactions and indications, as well as any other data deemed relevant to the assessment process.

In the absence of neat SAF spot-market data, Platts may also take into consideration the freight netback value of the Platts CIF Northwest European neat SAF cargo assessment (AJNWD00), the cost of SAF feedstocks and other adjacent markets, such as renewable diesel (HVO) and Straits-exported SAF.

The proposed SAF FOB China assessment would reflect a 4:30 p.m. Singapore time market close and would follow the Singapore publishing schedule.

The proposed assessments would be published on fixed pages 2013 of Platts Biofuels Alert, on fixed pages 1410 and 1411 of Platts Global Alert and Platts Refined Products Alert, and in the following publications: Biofuelscan, Fuel Ethanol report, Biomass-Based Diesel report, Oilgram Price report, Asia-Pacific/Arab Gulf Marketscan and in the Platts database.

Platts is requesting feedback, comments and questions about this proposal to be sent to platts_biofuels@spglobal.com and pricegroup@spglobal.com by March 27.