DHL, Malaysia Aviation Group partner to deploy SAF

DHL Express has signed an agreement with Malaysia Aviation Group to deploy sustainable aviation fuel under its GoGreen Plus service, targeting a reduction of about 300 metric tons of life cycle CO2 equivalent emissions in 2026.

The agreement will see MAG use SAF within DHL Express' air cargo network for international shipments spanning the US, Europe and Asia-Pacific, DHL said in a statement March 18.

The initiative is based on a "book-and-claim" mechanism, allowing DHL to substitute conventional jet fuel with SAF within its broader network and allocate the corresponding emissions reductions to customers, even if shipments are not physically transported on SAF-powered aircraft.

SAF, produced from feedstocks such as used cooking oil and other residues, can reduce life cycle greenhouse gas emissions by up to 80% compared with fossil jet fuel.

DHL launched the GoGreen Plus program in 2023 to help customers address Scope 3 emissions linked to logistics and distribution. SAF supply agreements with producers, including BP, Neste, Cosmo Energy and Cathay Group, support the service.

MAG said the partnership aligns with its broader decarbonization strategy across passenger and cargo operations as it seeks to scale SAF adoption through business-to-consumer and business-to-business channels.

The group has been testing SAF integration since 2021 and conducted a two-week SAF uplift on the Kuala Lumpur-London route in 2025 to assess supply chain readiness at Kuala Lumpur International Airport.

MAG is also working with industry stakeholders and local feedstock suppliers to explore the potential for domestic SAF production in Malaysia.

"SAF remains one of the most critical levers in aviation's transition to net-zero," said Philip See, group chief sustainability officer at MAG.

Platts, part of S&P Global Energy, assessed SAF HEFA-SPK FOB Straits at $2,390/mt March 19, down $20 from March 18.