DHL Express, MAG partner to cut logistics emissions using SAF

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Julian (left) and See during the signing session held at the MAG Town Office, Citta Mall on Wednesday.

KUALA LUMPUR (March 19): DHL Express has signed an agreement with Malaysia Aviation Group (MAG) to adopt its GoGreen Plus service, aimed at reducing greenhouse gas emissions linked to time-definite international shipments through the use of sustainable aviation fuel (SAF) within DHL’s air network.

A joint statement on Wednesday said the initiative is expected to reduce about 300 tonnes of lifecycle carbon dioxide equivalent (CO2e) emissions in 2026, compared with the previous year’s baseline.

DHL Express Malaysia and Brunei managing director Julian Neo said SAF remains one of the most viable lower-carbon solutions for long-haul air transport.

“It is therefore encouraging to see a national carrier of MAG’s stature amplify its position in the lower-carbon aviation fuel ecosystem and help galvanise wider sectoral adoption.

“This motivates our ongoing efforts to support the sustainability goals of businesses through carbon-reduced logistics,” he said.

Introduced in 2023, GoGreen Plus allows customers to reduce indirect Scope 3 emissions across their value chain, particularly from upstream and downstream transportation and distribution.

The service is supported by SAF agreements DHL has secured with partners including BP, Neste, Cosmo Energy and Cathay Group. SAF, produced from sustainable feedstocks such as used cooking oil and other residues, can reduce lifecycle greenhouse gas emissions by up to 80 per cent compared with conventional jet fuel.

The programme operates on a “book-and-claim” mechanism, allowing DHL to replace fossil fuels with SAF within its network and allocate the resulting emissions savings to customers like MAG, even if shipments are not physically transported using SAF-powered aircraft.

MAG’s subscription covers inbound and outbound air freight handled by DHL Express across key trade lanes in the United States, Europe and Asia Pacific.

The move supports MAG’s broader sustainability agenda by addressing emissions linked to its international logistics operations.

As an aviation group with both airline and cargo businesses, MAG said it continues to explore scalable SAF adoption across business-to-consumer (B2C) and business-to-business (B2B) segments as part of its long-term decarbonisation strategy.

The group is also working with industry partners and local feedstock suppliers to explore domestic SAF production, supporting the development of commercially viable solutions for passenger, corporate travel and cargo operations.

MAG group chief sustainability officer Philip See said SAF is a key lever in aviation’s transition to net-zero emissions by 2050.

“ As a hard-to-abate sector, scaling SAF requires coordinated action across the value chain—from policy to production to infrastructure and demand creation,”

“Our collaboration with DHL Express reflects the growing momentum for market-based solutions such as book-and-claim mechanisms that can accelerate SAF uptake beyond regulatory mandates,” he said.

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