From metallurgy to construction, the role of biochar is quietly expanding across sectors. But behind this growth lies a deeper question: how do we unlock biochar’s full potential as both a carbon sink and an industrial feedstock? The new European Biochar Market Report, presented by Biochar Europe Board Chair Hansjörg Lerchenmüller, provides fresh answers—and an outlook for the years ahead.
Now in its fourth edition, the report outlines current trends in the European biochar sector, with a particular focus on the evolving role of biochar in metallurgy. The data points to increased activity from industrial players who start to make first relevant investments in pyrolysis infrastructure to decarbonise their operations.
Beyond metallurgy, the report identifies notable developments in agriculture, concrete, and urban soil applications. The report further provides insights into expected price levels for different carbon dioxide removal (CDR) options—from biochar carbon removal (BCR) projects in the Global South to those in the EU, as well as comparisons with BECCS. These benchmarks help market actors position their strategies in a rapidly professionalising CDR landscape
At the core of the presentation is a policy-based scenario framework for Biochar Carbon Removal (BCR). It outlines possible growth trajectories: a base-case pathway in which moderate regulatory support—including integration into compliance markets like the EU ETS—enables the delivery of around 40 million tonnes of durable carbon removal by 2040 and an accelerated scenario that assumes broader market uptake and stronger policy incentives, allowing the sector to scale up to 80 million tonnes over the same period.
While the sector has seen notable diversification—from feedstock sources to end-use applications—there remain structural challenges that could limit growth. Regulatory uncertainty, especially around permitting and carbon accounting, continues to slow deployment. Stronger policy alignment and market incentives will be necessary to unlock the full potential of biochar, both as a carbon removal pathway and as a renewable carbon input for industry. To achieve this, regulatory frameworks must ensure a technology-agnostic level playing field.
For a detailed overview of these dynamics—along with regional comparisons, updated investment trends, and sector-specific developments—access the full European Biochar Market Report. The accompanying webinar presentation offers additional context on the data and projections outlined in this year’s edition.
Download the report and watch the presentation to explore what's driving the sector—and what it needs to scale.
