DHL Triples SAF Use, Becomes Top Global Purchaser

Logistics giant DHL significantly increased its use of Sustainable Aviation Fuel (SAF) in 2025, positioning the company as one of the world's leading purchasers of the low-carbon alternative. The company's total DHL SAF usage 2025 reached 185 kilotonnes, representing a 10% blending ratio across its air network. This volume is a nearly threefold increase from its 3.5% blend ratio in 2024, underscoring a strategic acceleration in its decarbonization efforts.

The move places DHL among the top three global Sustainable Aviation Fuel purchasers, a group that includes airline conglomerates International Airlines Group (IAG) and Air France-KLM. A cornerstone of this expansion is a new five-year IAG Cargo SAF agreement, which will see DHL uplift 240 million liters of SAF at London Heathrow (LHR). This single agreement is projected to reduce lifecycle Greenhouse Gas (GHG) emissions by approximately 640,000 tonnes of CO2 equivalent.

Financial and Strategic Commitments

DHL Group's investment in SAF for 2025 amounted to approximately €200 million ($230 million), according to its financial reports. This spending is not merely to meet internal targets but is a strategic response to evolving regulatory landscapes and customer demand for greener supply chains. The increased SAF adoption is crucial for ReFuelEU Aviation compliance, the European Union's framework mandating SAF use.

"The real story behind our progress with SAF is not the percentage points, it's the shift in mindset across the logistics and aviation ecosystem," said Andreas Mündel, SVP Strategy & Operations at DHL Group. "SAF has moved from being a niche alternative to becoming a cornerstone of how global supply chains decarbonise at scale."

The collaboration with IAG Cargo was highlighted by Travis Cobb, EVP Global Network Operations & Aviation at DHL Express, who stated, "This agreement shows what is possible when two committed SAF users in the industry pool their efforts."

Regulatory Landscape and Market Impact

The push for SAF is heavily influenced by regulations like the ReFuelEU Aviation Regulation. This E.U. mandate requires fuel suppliers to blend a minimum of 2% SAF at E.U. airports from 2025, a figure set to rise to 6% by 2030. By securing long-term offtake agreements now, companies like DHL are positioning themselves to meet these future mandates while securing a supply of what is currently a limited resource.

Furthermore, DHL is leveraging a 'book and claim' model through its GoGreen Plus service. This system, which operates under the Scope 3 Emissions Reporting framework, allows DHL to purchase SAF and allocate the resulting emissions reductions to its customers. This provides companies like e-commerce retailers SHEIN and Mytheresa with a verifiable way to reduce their own indirect carbon footprints from shipping.

The impact of these large-scale agreements extends to SAF producers such as Neste and BP, who gain the long-term revenue certainty needed to finance the construction of new biofuel refineries. For conventional jet fuel suppliers, it signals a gradual but steady erosion of market share at major hubs where SAF blending is becoming standard practice.

Technical Analysis

DHL's strategy reflects a broader industry trend of pre-mandate procurement to de-risk future supply chain vulnerabilities. By locking in hundreds of millions of liters of SAF years ahead of the more stringent 2030 mandates, the company mitigates price volatility and supply scarcity. This proactive approach also establishes DHL as a market leader in sustainable logistics, a key differentiator for corporate clients with their own ambitious ESG targets.

Historically, similar large corporate commitments have been essential for catalyzing the SAF market. Early offtake agreements by FedEx and Southwest Airlines in 2021-2022 were crucial for de-risking capital investments for pioneering producers. Similarly, Amazon Air's 2020 purchase of 6 million gallons of SAF helped validate the 'book and claim' model for dedicated cargo operators, a precedent DHL is now expanding upon at a global scale.

However, the transition is not without challenges. Some environmental groups express concern that 'book and claim' systems can obscure actual physical emissions at a local level. Furthermore, the high cost and limited feedstock availability for current-generation SAF raise questions about the long-term scalability of corporate targets without significant breakthroughs in synthetic fuels.

Sustainable Aviation Fuel (HEFA) vs Conventional Jet A-1

What Comes Next

Looking ahead, the regulatory requirements for SAF are set to increase significantly. The ReFuelEU Aviation mandate is confirmed to rise to a 6% blending requirement on January 1, 2030. In parallel, DHL Group has established its own corporate sustainability goal, targeting a 30% SAF blending ratio across its network by the same year.

Achieving this ambitious target will require continued investment and the formation of new strategic partnerships to secure a much larger volume of SAF from a diverse range of producers and technology pathways, including power-to-liquid e-fuels.

Why This Matters

DHL's massive increase in SAF procurement is a pivotal moment for the air cargo industry's decarbonization efforts. It demonstrates that large-scale SAF adoption is commercially viable and strategically necessary, moving beyond pilot programs to become a core component of business operations. This move not only pressures competitors to accelerate their own sustainability initiatives but also sends a powerful demand signal to the energy sector to ramp up SAF production capacity globally.