• Cat-intel
  • MedIntelliX
  • Resources
  • About Us
  • Request Free Sample ×

    Kindly complete the form below to receive a free sample of this Report

    Leading companies partner with us for data-driven Insights

    clients tt-cursor

    US Biomass Pellets Market

    ID: MRFR/CnM/14179-HCR
    200 Pages
    Chitranshi Jaiswal
    September 2025

    US Biomass Pellets Market Research Report By Source Outlook (Industrial Waste Co-product, Agriculture Residue, Food Waste, Energy Crops, Virgin Lumber, Others), By Type Outlook (Wood Pellets, Agri Pellets, Torrefied Pellets, Others) and By Application Outlook (Power Generation, Industrial Heating, Residential Heating, Others) - Forecast to 2035

    Share:
    Download PDF ×

    We do not share your information with anyone. However, we may send you emails based on your report interest from time to time. You may contact us at any time to opt-out.

    US Biomass Pellets Market Infographic
    Purchase Options
    $ 4,950.0
    $ 5,950.0
    $ 7,250.0

    US Biomass Pellets Market Summary

    The US Biomass Pellets market is projected to grow from 12.5 USD Billion in 2024 to 25 USD Billion by 2035.

    Key Market Trends & Highlights

    US Biomass Pellets Key Trends and Highlights

    • The market is expected to achieve a compound annual growth rate (CAGR) of 6.5% from 2025 to 2035.
    • By 2035, the market valuation is anticipated to reach 25 USD Billion, indicating robust growth potential.
    • In 2024, the market is valued at 12.5 USD Billion, reflecting a strong foundation for future expansion.
    • Growing adoption of renewable energy sources due to increasing environmental concerns is a major market driver.

    Market Size & Forecast

    2024 Market Size 12.5 (USD Billion)
    2035 Market Size 25 (USD Billion)
    CAGR (2025 - 2035) 6.5%

    Major Players

    Apple Inc (US), Microsoft Corp (US), Amazon.com Inc (US), Alphabet Inc (US), Berkshire Hathaway Inc (US), Meta Platforms Inc (US), Tesla Inc (US), Johnson & Johnson (US), Visa Inc (US), Procter & Gamble Co (US)

    US Biomass Pellets Market Trends

    The US Biomass Pellets Market is experiencing significant growth driven by an increasing demand for renewable energy sources and a shift towards sustainable practices. One of the key market drivers is government support for biomass energy initiatives, as the US aims to reduce greenhouse gas emissions and reliance on fossil fuels. Policies and incentives, such as tax credits and grants, encourage biomass production and utilization, fueling interest among investors and producers alike.  Amid this supportive environment, opportunities abound for companies to explore innovative technologies and improve production efficiency.

    The growing awareness of climate change and the need for cleaner energy alternatives position biomass pellets as a viable solution for both residential and industrial heating needs. Additionally, shifts towards circular economy principles can enhance the value proposition of biomass pellets, as waste materials are repurposed to create energy-efficient products.  In recent times, trends indicate that the focus is not only on conventional wood pellets but also on diverse feedstocks including agricultural residues and industrial by-products. This diversification can help reduce costs and increase supply chain resilience.

    There is also a noticeable rise in domestic and international demand for biomass pellets used for power generation, offering new avenues for export from the US. Furthermore, advancements in pelletization technology have improved the quality and efficiency of biomass pellets, aligning with the growing customer preference for reliable and consistent energy sources. In summary, the US Biomass Pellets Market is seeing dynamic trends shaped by regulatory support, innovative practices, and rising awareness around renewable energy.

     

    Source: Primary Research, Secondary Research, Market Research Future Database and Analyst Review

    Market Segment Insights

    Biomass Pellets Market Source Outlook Insights

    The US Biomass Pellets Market has witnessed notable growth trends in the Source Outlook segment, which plays a crucial role in the overall dynamics of biomass utilization. This segment encompasses various sources such as Industrial Waste Co-product, Agriculture Residue, Food Waste, Energy Crops, Virgin Lumber, and Others, each contributing uniquely to the supply chain of biomass pellets. Industrial Waste Co-product serves an important function by repurposing by-products from manufacturing processes, minimizing waste and creating an eco-friendly alternative to traditional energy sources.Agriculture Residue is another significant contributor, as the US agricultural sector generates large volumes of biomass that remain underutilized.

    By converting this residue into pellets, farmers not only can find new revenue streams, but they also help mitigate environmental concerns associated with residue burning. Food Waste represents a growing area within the market, leveraging surplus food materials to produce pellets that can serve as renewable energy sources, thus promoting circular economic practices. Energy Crops are specifically cultivated for energy production, and they are increasingly recognized for their potential to meet rising energy demands sustainably while supporting rural economies.Virgin Lumber, although under scrutiny in terms of sustainability, remains important for producing biomass pellets, particularly when sourced from responsibly managed forests.

    Finally, the category known as Others encapsulates miscellaneous sources that contribute diversely to the biomass pellets market. Overall, the Source Outlook segment is characterized by evolving market trends driven by regulatory support, increasing awareness of renewable energy options, and innovations in biomass processing technologies, positioning it strategically for future growth within the US Biomass Pellets Market.

    Source: Primary Research, Secondary Research, Market Research Future Database and Analyst Review

    Biomass Pellets Market Type Outlook Insights

    The US Biomass Pellets Market is characterized by a diverse range of types that cater to various applications and industries, with Type Outlook being a critical aspect of its segmentation. Wood Pellets hold a significant share within this market, primarily owing to their efficiency as a renewable energy source for heating and power generation. Their adoption is bolstered by supportive policies aimed at reducing carbon emissions and promoting sustainable energy consumption.

    Agri Pellets, derived from agricultural waste, also play an essential role, facilitating waste management while providing a viable alternative for biomass energy.Moreover, Torrefied Pellets, which undergo thermal treatment to enhance energy density and combustion properties, are gaining traction as they offer improved performance and lower emissions. Other types further enrich this market, bringing unique benefits that appeal to specific customer needs. This diversification within the Type Outlook not only showcases the versatility of biomass pellets but also aligns with governmental initiatives aimed at increasing renewable energy usage and transitioning towards a more sustainable energy future in the US.

    Biomass Pellets Market Application Outlook Insights

    The Application Outlook segment of the US Biomass Pellets Market encompasses various critical areas, such as Power Generation, Industrial Heating, Residential Heating, and Others, each playing a significant role in the market dynamics. Power Generation is increasingly recognized for its potential to reduce carbon emissions while providing significant energy outputs, making it a popular choice among renewable energy initiatives in the US.

    Similarly, the Industrial Heating segment relies heavily on biomass pellets as an eco-friendly alternative fuel source, contributing to sustainability goals while helping industries meet stringent emissions standards.Residential Heating is gaining traction, especially as consumers seek sustainable heating solutions for their homes amid rising energy costs. The Others category includes a variety of niche applications, highlighting the versatility of biomass pellets across different sectors.

    With a growing emphasis on renewable energy and sustainability across the nation, the US Biomass Pellets Market is poised for steady growth, driven by these segments, each addressing distinct energy needs and contributing to the overall market value and trends in renewable energy adoption.Market growth in these areas is further supported by advancements in technology and increased awareness of the benefits of using biomass as a cleaner energy solution.

    Get more detailed insights about US Biomass Pellets Market Research Report — Forecast till 2035

    Key Players and Competitive Insights

    The US Biomass Pellets Market has shown significant growth and development, driven by an increasing demand for renewable energy sources and governmental support for sustainable alternatives. As the market expands, several key players are vying for dominance, utilizing various competitive strategies to capture market share. The industry is characterized by innovation in production technologies, improved biomass conversion processes, and strategic partnerships aimed at enhancing supply chains. Companies are also focusing on environmental compliance and sustainability practices to meet growing regulatory requirements and consumer preferences.

    The competitive landscape features a mix of established entities and emerging players, all striving to establish a strong foothold in this burgeoning sector.Bioenergy International has established a commendable presence within the US Biomass Pellets Market, focusing on producing high-quality biomass fuels aimed primarily at industrial applications and power generation. The company leverages its strengths in innovative manufacturing processes and superior product development, ensuring that its offerings meet stringent quality and sustainability standards. Bioenergy International's robust supply chain, characterized by strategic partnerships and collaborations with forestry and agricultural sectors, has allowed it to effectively manage raw material sourcing.

    Additionally, the company's dedication to research and development plays a pivotal role in enhancing its product efficiency, ultimately ensuring that it remains competitive amid growing market demands.Enviva operates as one of the leading players in the US Biomass Pellets Market, with a significant footprint characterized by its extensive network of production facilities and logistical capabilities. The company specializes in manufacturing and supplying sustainably sourced wood pellets, which serve both domestic and international markets as a renewable energy source. Enviva has positioned itself as a strong advocate of environmentally responsible practices, achieving certifications that highlight its commitment to sustainability.

    The company's diverse product portfolio includes various grades of wood pellets catering to different energy production needs. With strategic mergers and acquisitions, Enviva has expanded its operational capacity and market reach, enabling it to strengthen its competitive edge further. Such moves have allowed Enviva to capitalize on increased demand both for renewable energy solutions and for technological advancements in biomass fuel production within the United States.

    Key Companies in the US Biomass Pellets Market market include

    Industry Developments

    The US Biomass Pellets Market has seen notable developments recently, particularly as awareness of renewable energy sources grows. In August 2023, Bioenergy International announced enhancements to production efficiencies that aim to meet increasing consumer demand for sustainable energy solutions. Meanwhile, Enviva and Drax Group are collaborating to bolster their market presence through sustainable procurement strategies, focusing on protecting forests while expanding production capabilities. In terms of mergers, Pinnacle Renewable Energy acquired Georgia Biomass in July 2022, significantly increasing their foothold in the market.

    The market valuation of companies like Green Circle Bio Energy and Premium Pellet has been on an upward trend, reflecting their commitment to addressing climate goals and growing demand for biomass fuels. Over the past 2-3 years, there has been a consistent push for the utilization of biomass as an alternative energy source, supported by various state-level policies aimed at reducing carbon emissions. Manufacturers are optimizing operations to comply with stricter environmental regulations while adapting to the global shift toward cleaner energy solutions.

    Market Segmentation

    Biomass Pellets Market Type Outlook

    • Wood Pellets
    • Agri Pellets
    • Torrefied Pellets
    • Others

    Biomass Pellets Market Source Outlook

    • Industrial Waste Co-product
    • Agriculture Residue
    • Food Waste
    • Energy Crops
    • Virgin Lumber
    • Others

    Biomass Pellets Market Application Outlook

    • Power Generation
    • Industrial Heating
    • Residential Heating
    • Others

    Biomass Pellets Market Type Outlook Insights

    Biomass Pellets Market Source Outlook Insights

    Biomass Pellets Market Application Outlook Insights

    • Bioenergy International
    • Enviva
    • Westervelt
    • Bluefire Renewables
    • Drax Group
    • Magnolia Biofuels
    • Green Circle Bio Energy
    • Alder Energy
    • New England Wood Pellet
    • Premium Pellet
    • RWE AG
    • Landmark Biofuels
    • Pinnacle Renewable Energy
    • Georgia Biomass

    Report Scope

    Report Attribute/Metric Source: Details
    MARKET SIZE 2018 0.86(USD Billion)
    MARKET SIZE 2024 1.08(USD Billion)
    MARKET SIZE 2035 1.92(USD Billion)
    COMPOUND ANNUAL GROWTH RATE (CAGR) 5.37% (2025 - 2035)
    REPORT COVERAGE Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
    BASE YEAR 2024
    MARKET FORECAST PERIOD 2025 - 2035
    HISTORICAL DATA 2019 - 2024
    MARKET FORECAST UNITS USD Billion
    KEY COMPANIES PROFILED Bioenergy International, Enviva, Westervelt, Bluefire Renewables, Drax Group, Magnolia Biofuels, Green Circle Bio Energy, Alder Energy, New England Wood Pellet, Premium Pellet, RWE AG, Landmark Biofuels, Pinnacle Renewable Energy, Georgia Biomass
    SEGMENTS COVERED Source Outlook, Type Outlook, Application Outlook
    KEY MARKET OPPORTUNITIES Increasing demand for renewable energy, Government incentives for biomass production, Expansion of industrial applications, Rising exports to international markets, Growing awareness of sustainability practices
    KEY MARKET DYNAMICS growing renewable energy demand, government regulations and incentives, technological advancements in production, environmental sustainability concerns, rising prices of fossil fuels
    COUNTRIES COVERED US

    FAQs

    What is the expected market size of the US Biomass Pellets Market in 2024?

    The US Biomass Pellets Market is expected to be valued at 1.08 billion USD in 2024.

    What is the projected market size for the US Biomass Pellets Market by 2035?

    By 2035, the US Biomass Pellets Market is projected to reach a value of 1.92 billion USD.

    What is the expected CAGR for the US Biomass Pellets Market from 2025 to 2035?

    The expected CAGR for the US Biomass Pellets Market from 2025 to 2035 is 5.37%.

    Which source segment is expected to have the highest market value in 2035?

    In 2035, the Industrial Waste & Co-product segment is projected to have the highest market value at 0.4 billion USD.

    Which are some key players in the US Biomass Pellets Market?

    Major players in the market include Bioenergy International, Enviva, and Drax Group among others.

    What is the expected market value of the Agriculture Residue segment in 2024?

    The Agriculture Residue segment is expected to be valued at 0.25 billion USD in 2024.

    How is the Food Waste segment expected to grow by 2035?

    The Food Waste segment is anticipated to grow to 0.32 billion USD by 2035.

    What is the projected market size for the Energy Crops segment in 2024?

    The Energy Crops segment is projected to be valued at 0.23 billion USD in 2024.

    What challenges does the US Biomass Pellets Market currently face?

    The market faces challenges related to sourcing sustainable biomass and fluctuations in raw material prices.

    What are the growth opportunities for the US Biomass Pellets Market?

    There are growth opportunities in expanding applications in renewable energy and increasing demand for sustainable energy sources.

    What will the market value of the US Biomass Pellets Market be in 2035?

    By the year 2035, the US Biomass Pellets Market is projected to be valued at 2.07 billion USD.

    Which segments are projected to dominate the US Biomass Pellets Market?

    The segments 'Industrial Waste & Co-product' and 'Agriculture Residue' are expected to hold significant shares in the market.

    What is the projected market size for the 'Industrial Waste & Co-product' segment in 2035?

    The 'Industrial Waste & Co-product' segment is expected to reach 0.46 billion USD by 2035.

    Which key players are leading in the US Biomass Pellets Market?

    Major players in the market include Drax Group, Enviva, and Pinnacle Renewable Energy.

    What market size is expected for the 'Agriculture Residue' segment in 2024?

    The 'Agriculture Residue' segment is anticipated to be valued at 0.30 billion USD in 2024.

    How large is the 'Food Waste' segment projected to be in 2035?

    The 'Food Waste' segment is expected to reach a market size of 0.28 billion USD by 2035.

    What is the projected value of the 'Energy Crops' segment in 2024?

    In 2024, the 'Energy Crops' segment is expected to be valued at 0.20 billion USD.

    How will the US Biomass Pellets Market grow regionally in the upcoming years?

    The US Biomass Pellets Market is anticipated to experience steady growth across various regions, driven by increasing demand for renewable energy sources.

    US Biomass Pellets Market Research Report — Forecast till 2035 Infographic
    Free Sample Request

    Kindly complete the form below to receive a free sample of this Report

    Customer Stories

    “I am very pleased with how market segments have been defined in a relevant way for my purposes (such as "Portable Freezers & refrigerators" and "last-mile"). In general the report is well structured. Thanks very much for your efforts.”

    Victoria Milne Founder
    Case Study
    Chemicals and Materials