As petroleum prices continue to increase, it is likely that biofuels will play an ever-increasing role in our energy future. The processing of biomass-derived feedstocks (including cellulosic, starch- and sugar-derived biomass, and vegetable fats) by catalytic cracking and hydrotreating is a promising alternative for the future to produce biofuels, and the existing infrastructure of petroleum refineries is well-suited for the production of biofuels, allowing us to rapidly transition to a more sustainable economy without large capital investments for new reaction equipment. This Review discusses the chemistry, catalysts, and challenges involved in the production of biofuels.