DB Schenker has received its largest single order for sustainable aviation fuel (SAF) with Mercedes-Benz’s record agreement for some 13,000 tons.
The fuel will cut the automaker’s C02 emissions by 40,000 tons on its airfreight export lanes from Frankfurt to Beijing and Shanghai, with the SAF being ‘spent’ on a per-shipment basis, rather than for full charter flights.
“The new SAF agreement only covers a small proportion of the total number of air shipments we handle for the customer,” a DB Schenker spokesperson said.
“However, it is an important step in the right direction, and we welcome the financial commitment of Mercedes-Benz. SAF remains significantly more expensive than conventional (fossil-based) jet fuel (factor 3-5).”
The SAF is sourced from Europe and the US by “three airlines with international route networks and worldwide operations”, added the spokesperson.
Schenker procures the certificates from the airlines and bundles them into a package for Mercedes-Benz, which is aiming, via its Ambition 2039 strategy, to cut emissions in logistics by 60%, compared with 2021.
Elke Pusskeiler, its head of supply chain management, said: “Our sustainability strategy focuses on CO2 avoidance and on the reduction of emissions for all modes of transport, inbound and outbound.”
DB Schenker has worked with Mercedes-Benz “for decades”, and says it offers all customers options to reduce emissions in all modes of transport.
“Biofuel plays a key role in the journey toward decarbonisation, not only in air freight but also in ocean freight (maritime fuel) and land transport (HVO),” said the spokesperson.
“SAF produced from waste materials is well-tested transitional solution until further technological innovation become available.”
The forwarder added that since it began offering customers SAF in 2020 it had seen a slight increase in demand, with its current annual volume in the “five-digit tonnage” range.
“The order from Mercedes-Benz sets a new record and will undoubtedly drive our overall SAF usage.”
One of the greatest issues with SAF is a lack of production, but Schenker says the situation is improving, with production capacities expanding globally to meet the growing market demand.
“So far, DB Schenker has consistently been able to supply all interested customers with the required quantity of SAF in certified quality. We see ourselves as a strategic partner to our customers, supporting them in reducing emissions in their supply chains – for example, by securing SAF volumes or providing electric vehicles in land transport, etc.”
Thorsten Meincke, Schenker’s global board member for air & ocean freight, explained: “Achieving carbon neutrality is a long-haul journey. Our new biofuel agreement with our trusted partner Mercedes-Benz sets a new benchmark for sustainability commitments.
“By working together, we are actively and immediately reducing emissions in intercontinental supply chains. This contract represents one of the largest-ever SAF deals in the entire automotive and logistics industries globally. I look forward to seeing more customers join us.”
