DHL, IAG Cargo sign major Sustainable Aviation Fuel (SAF) deal

The DHL Group has announced a major expansion of its sustainable aviation fuel (SAF) collaboration with IAG Cargo, the cargo handling division of International Airlines Group (IAG). The new five-year agreement, together with a previous 2025 renewal, will enable approximately 240 million liters of SAF uplifted at London Heathrow Airport and reduce the lifecycle greenhouse gas emissions of DHL Express cargo transported on British Airways flights.

DHL Express will receive the Scope 3 emissions reductions from approximately 40 million liters of neat SAF per year, which together with the 2025 renewal, represents a lifecycle greenhouse gas emissions reduction of 640,000 tonnes of CO2e.

It covers nearly all of the fuel currently attributed to transporting DHL Express cargo within IAG Cargo’s network. The SAF used in this collaboration is certified by International Sustainability & Carbon Certification (ISCC), is derived from sources such as used cooking oil, and achieves approximately 90% lifecycle greenhouse gas emissions reductions compared to the fossil jet fuel it replaces.

The collaboration will be supported by a further framework agreement between DHL Global Forwarding (DGF) and IAG Cargo, strengthening the Group’s cross divisional strategy to secure reliable and diversified access to sustainable fuels. This expanded DGF framework could increase the total volume across the DHL Group to over 1 million tonnes of greenhouse gas emissions reductions on a lifecycle basis, further reinforcing the Group’s ability to meet rising demand for emissions reduction services.

“This agreement shows what is possible when two committed SAF users in the industry pool their efforts,” said Travis Cobb, EVP Global Network Operations & Aviation at DHL Express. “It significantly expands our ability to reduce lifecycle greenhouse gas emissions on a major trade lane and demonstrates how cross-sector partnerships can contribute towards concrete lifecycle greenhouse gas emissions reductions.”

Camilo Garcia Cervera, Chief Sales and Marketing Officer at IAG Cargo, said: “DHL and IAG Cargo have a longstanding relationship, and it’s great to see our partnership continue to grow as we work together to deliver more sustainable air freight solutions while we keep global trade moving. Partnerships like these will be critical to scaling the use of sustainable aviation fuel.”

The agreements support DHL’s goal of increasing the share of sustainable aviation fuel in air transport to 30% by 2030, a central element of the company’s broader sustainability commitment.