DHL Express signs major SAF supply deal with Phillips 66 to cut aviation emissions

DHL Express has signed a Sustainable Aviation Fuel (SAF) supply agreement with Phillips 66, securing more than 240,000 metric tonnes of SAF over three years in one of the largest such deals in the US air cargo sector. The agreement is expected to cut lifecycle greenhouse gas emissions by around 737,000 metric tonnes compared with conventional jet fuel.

Most of the fuel will be supplied to Los Angeles International Airport (LAX), a key West Coast hub for DHL, with additional deliveries planned for other airports where the company operates, including San Francisco International Airport (SFO). The SAF will be produced at Phillips 66’s Rodeo Renewable Energy Complex in California, one of the world’s largest renewable fuel facilities, with capacity to produce 150 million gallons of unblended SAF annually.

DHL will use a book-and-claim system to account for the emissions reductions, enabling it to manage and offset its aviation carbon footprint even when SAF is not physically used on all routes.

Travis Cobb, EVP Global Operations and Aviation at DHL Express, said the deal represented “a significant milestone” in the company’s sustainability strategy. “By securing a reliable supply of SAF, we are not only reducing our carbon emissions — and those within our customers’ supply chains — but also setting a precedent for the logistics and air cargo industries in the US,” he said.

Brian Mandell, EVP Marketing and Commercial at Phillips 66, said the agreement reflected a shared commitment to advancing the SAF market. “Our agreement with DHL showcases cross-industry collaboration, and together we aim to drive progress towards sustainable solutions in the aviation sector,” he said.

The deal bolsters DHL’s broader net-zero ambitions, including its target to achieve zero-emissions logistics by 2050. Since 2021, the company has secured multiple SAF partnerships across Europe, the Americas and Asia-Pacific. The new agreement will also support DHL’s GoGreen Plus service, which enables customers to cut Scope 3 emissions through the use of sustainable fuels.

DHL Express said the partnership with Phillips 66 marks an important step in scaling SAF availability and accelerating emissions reductions in the global air cargo industry.

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