Effects of pellet production on selected Sustainability Development Goals (SDGs) are evaluated using industry information, available energy consumption data, and published research findings. Challenges associated with identifying relevant SDG goals and targets for this particular bioenergy supply chain and potential deleterious impacts are discussed. We find that production of woody pellets in the SE US and shipments to displace coal for energy in Europe generate positive effects on affordable and clean energy (SDG 7), decent work and economic growth (SDG 8), industry innovation and infrastructure (SDG 9), responsible consumption and production (SDG 12), and life on land (SDG 15). Primary strengths of the pellet supply chain in the SE US are the provisioning of employment in depressed rural areas and the displacement of fossil fuels. Weaknesses are associated with potential impacts on air, water, and biodiversity that arise if the resource base and harvest activities are improperly managed. The SE US pellet supply chain provides an opportunity for transition to low-carbon industries and innovations while incentivizing better resource management.