SINGAPORE — Neste’s agreement to supply 7,400 tons (approximately 9.5 million liters) of unblended SAF to DHL Express marks a significant step in scaling SAF adoption in the Asia-Pacific. The deal aligns with Singapore’s mandate for 1% SAF usage starting in 2026, with plans to increase to 3-5% by 2030. This partnership demonstrates how logistics giants can drive demand, but the high cost of SAF (2-3 times that of conventional jet fuel) remains a challenge. Stakeholders should prioritize long-term offtake agreements to stabilize supply chains and attract investment in production facilities. The deal also highlights the need for transparent SAF accounting to prevent double-counting of emissions reductions, a concern raised by industry bodies like IATA.

“This partnership with Neste is a major step forward for us in reducing emissions from international air cargo operations,” said Christopher Ong, Managing Director of DHL Express Singapore.

Source: Neste Corporation, Press Release, “Neste to supply sustainable aviation fuel (SAF) to DHL Express at Singapore Changi Airport in one of the largest SAF deals in the air cargo sector in Asia,” July 15, 2025