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FedEx partners with Neste to supply sustainable aviation fuel at LAX

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FedEx partners with Neste to supply sustainable aviation fuel at LAX
Policy
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John Dietrich FedEx Executive Leadership Executive Vice President and CFO | FedEx

SEOUL, South Korea – Federal Express Corporation (FedEx) has entered into an agreement with Neste to supply more than 3 million gallons of blended sustainable aviation fuel (SAF) to Los Angeles International Airport. Under the agreement, FedEx will purchase fuel containing a minimum of 30% purity of Neste MY Sustainable Aviation Fuel, which represents approximately one-fifth of the aviation fuel consumed at Los Angeles International Airport.

“Sustainable fuel sourcing has been a key pillar of FedEx Aviation’s emissions reduction strategy for the coming years, and we are excited to begin implementing this fuel in our operations through this agreement,” said Karen Blanks-Ellis, FedEx Chief Sustainability Officer and Vice President of Environment. “With aviation as the largest source of fuel for FedEx globally, it represents one of our largest opportunities to reduce emissions, and as we work to become carbon-neutral by 2040, it is critical that the SAF market continues to grow to meet industry demand.”

“As a global express transportation company, we view this initial deployment of SAF in the U.S. as a significant step forward that both advances our sustainability goals and supports the aviation industry’s ongoing commitment to SAF procurement and use,” said Richard Smith, FedEx International chief operating officer and president and CEO, Air. “While we recognize that further growth of the SAF market and other technological innovations remain necessary, we are proud to celebrate this important milestone alongside the expansive air network of FedEx Express.”

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“We are excited to partner with FedEx and are proud that our SAF will support FedEx’s bold goal of operating carbon-neutral by 2040,” said Karl Nyberg, senior vice president of Neste’s Renewable Products business. “Given the critical importance of air cargo to the global economy, FedEx demonstrates the potential for low-emission solutions like SAF to help the aviation industry reduce its environmental impact. We look forward to further strengthening our collaboration.”

This agreement is part of FedEx’s multi-year commitment to sustainable technology innovation. The company also conducted the EcoDemonstrator, the first commercial aircraft test flight program with Boeing to use 100% sustainable aviation fuel on both engines. In addition to procuring SAF, the company is also pursuing various measures to reduce fuel consumption, resulting in achieving its goal of reducing aviation emissions intensity by 30% by fiscal year 2024 compared to 2005.

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