DHL Neste Partner to Boost Sustainable Aviation Fuel

DHL Group is deepening its partnership with Neste to significantly reduce carbon emissions in air and land transport by using Sustainable Aviation Fuel (SAF) and renewable diesel, supporting DHL's goal of achieving net-zero emissions by 2050. This marks a significant step towards a green transition in the logistics industry, which requires the collective efforts of governments, businesses, and consumers.
DHL Neste Partner to Boost Sustainable Aviation Fuel

Imagine a future where packages are delivered not by fossil-fuel-powered planes and trucks, but through cleaner, greener energy sources. This isn't science fiction—it's the ambitious goal global logistics leader DHL Group is pursuing through an expanded partnership with renewable fuel company Neste.

The collaboration represents a significant step toward DHL's 2050 net-zero emissions target. By 2030, the company plans to electrify two-thirds of its last-mile delivery fleet and increase sustainable fuel usage to over 30% of its total consumption.

Under the agreement, DHL will purchase 300,000 metric tons annually of unblended sustainable aviation fuel (SAF) from Neste by 2030—enough to significantly reduce aviation emissions. The companies will also explore integrating renewable diesel into DHL's trucking operations.

Sustainable Aviation Fuel: The Green Future of Air Transport

SAF, produced from sustainable feedstocks like used cooking oil, agricultural residues, and algae, can reduce lifecycle carbon emissions by up to 80% compared to conventional jet fuel. While currently more expensive than petroleum-based alternatives, technological advances and policy support are expected to drive down costs.

"This agreement with Neste marks a crucial milestone in our 2050 net-zero logistics strategy," said Yung C. Ooi, DHL Group's Executive Vice President for Corporate Development. "Partnering with leading renewable fuel producers accelerates our medium-term decarbonization goals."

Renewable Diesel: Cutting Emissions on the Road

For ground transportation, DHL is evaluating renewable diesel (also called HVO or hydrotreated vegetable oil) made from plant oils, animal fats, and waste oils. This drop-in fuel requires no engine modifications while delivering substantial emission reductions compared to conventional diesel.

Like SAF, renewable diesel currently carries a price premium, but its adoption is growing as governments implement supportive policies and production scales up.

Beyond Fuels: DHL's Comprehensive Green Strategy

DHL's sustainability efforts extend beyond alternative fuels. The company is implementing multiple complementary measures:

• Fleet electrification: Transitioning last-mile delivery vehicles to electric models

• Route optimization: Reducing mileage through advanced logistics planning

• Eco-friendly packaging: Increasing use of recyclable and biodegradable materials

• Carbon offsets: Investing in reforestation and other offset projects

The partnership between DHL and Neste signals the logistics industry's serious commitment to addressing climate change. While challenges remain in scaling sustainable fuel production and infrastructure, such collaborations demonstrate tangible progress toward a cleaner transportation future.