Key Takeaways
• FedEx purchases over 3 million gallons of SAF for LAX, covering 20% of its annual jet fuel use.
• Neste supplies SAF made from 100% renewable waste reducing emissions by up to 80% in pure form.
• FedEx aims for carbon-neutral operations by 2040 with largest SAF deal by a U.S. cargo airline.
FedEx Express Launches Major Sustainable Aviation Fuel Program at Los Angeles International Airport
FedEx Express, the world’s largest express cargo airline, has taken a bold step in the aviation industry’s shift toward cleaner energy. In May 2025, FedEx began using sustainable aviation fuel (SAF) at Los Angeles International Airport (LAX) through a landmark agreement with Neste, the world’s leading producer of SAF and renewable diesel. This move marks the largest SAF purchase by a U.S. cargo airline at LAX and signals a significant commitment to reducing aviation’s environmental impact.
What Is Happening and Why Does It Matter?
FedEx Express has purchased over 3 million gallons of blended sustainable aviation fuel from Neste for delivery at LAX. The agreement requires that the blended fuel contains at least 30% neat (unblended) Neste MY Sustainable Aviation Fuel. Deliveries started in May 2025 and will continue for at least a year.
This purchase equals about 8,800 metric tons of SAF and will make up roughly 20% of all jet fuel FedEx uses at LAX each year. According to analysis by VisaVerge.com, this is the largest single SAF deployment by a U.S. cargo airline at this airport.
The move is important for several reasons:
– Aviation is a major source of carbon emissions. FedEx’s air operations account for nearly 60% of the company’s total emissions, mostly from jet fuel use.
– SAF is a cleaner alternative to fossil jet fuel. It can dramatically reduce greenhouse gas emissions over its lifecycle.
– FedEx is aiming for carbon-neutral operations by 2040. This SAF deployment is a key part of that strategy.
What Is Sustainable Aviation Fuel (SAF)?
Sustainable aviation fuel is a type of jet fuel made from renewable resources instead of crude oil. Neste’s SAF is produced from 100% renewable waste and residue materials, such as:
– Animal fat waste
– Used cooking oil
– Other renewable waste and raw material residue
In its pure (unblended) form, Neste MY Sustainable Aviation Fuel can cut greenhouse gas emissions by up to 80% over its lifecycle compared to regular jet fuel. While the exact emissions reduction for the blended fuel used by FedEx isn’t specified, it still represents a significant improvement over traditional jet fuel.
How Will This Affect FedEx’s Operations at LAX?
FedEx’s SAF purchase will have a direct impact on its flights from Los Angeles International Airport. Here’s what this means in practical terms:
- About 1 in 5 gallons of jet fuel used by FedEx at LAX will now be SAF.
- This change will help lower the company’s overall carbon footprint, especially since LAX is a major hub for FedEx’s U.S. and international operations.
- The agreement with Neste ensures a steady supply of SAF for at least a year, giving FedEx time to measure results and plan for future expansion.
Karen Blanks Ellis, Chief Sustainability Officer and Vice President of Environmental Affairs at FedEx, explained, “Procuring SAF is an important component of our aviation emissions-reduction strategy in the coming years, and we are pleased to have executed a deal with Neste to begin using this fuel in our air operations.”
Richard Smith, FedEx CEO of Airlines and Chief Operating Officer for international operations, added that this first U.S. deployment will help support “the aviation industry’s efforts to source and use more SAF.”
Why Is This Move Significant for the Aviation Industry?
The aviation industry faces growing pressure to cut emissions and find cleaner energy sources. However, the use of SAF is still very limited worldwide. According to the International Air Transport Association (IATA), SAF made up less than 1% of global jet fuel use in 2024. The pace of adoption has been “disappointingly slow,” and industry leaders say much more needs to be done.
FedEx’s large-scale SAF deployment at LAX is important because:
– It sets a new standard for cargo airlines in the United States. Other carriers may follow FedEx’s lead, increasing demand for SAF.
– It demonstrates that SAF can be used at scale in major airports. This helps build confidence in the fuel’s reliability and supply chain.
– It supports broader industry goals. The aviation sector has set ambitious climate targets, and SAF is seen as a key tool for reaching them.
Carl Nyberg, Senior Vice President of Commercial Renewable Products at Neste, said, “Neste is excited to work with FedEx and support their ambitious goal of reaching carbon-neutral operations by 2040 with our SAF. Recognizing the important role of air cargo in the global economy, FedEx is demonstrating how this industry can use available lower-emission solutions like SAF to reduce its environmental impact.”
How Does SAF Help the Environment?
The main environmental benefit of SAF is its ability to reduce greenhouse gas emissions compared to fossil jet fuel. Here’s how:
- Renewable Sources: SAF is made from waste materials that would otherwise be thrown away, such as used cooking oil and animal fats.
- Lower Carbon Footprint: When SAF is burned in airplane engines, it releases less carbon dioxide over its lifecycle than regular jet fuel.
- Supports Circular Economy: By using waste products as fuel, SAF helps create a more sustainable, circular economy.
For example, if a FedEx Express cargo plane flying from LAX to New York uses SAF instead of regular jet fuel, the total emissions for that flight could be reduced by up to 80% (if using 100% neat SAF). Even with a 30% blend, the emissions savings are still significant.
What Are the Challenges to Wider SAF Adoption?
Despite its benefits, SAF faces several challenges that limit its use:
- Limited Supply: There isn’t enough SAF being produced to meet global demand. Most airlines can only get small amounts.
- Higher Cost: SAF is more expensive than regular jet fuel, making it harder for airlines to switch without financial support.
- Infrastructure Needs: Airports and fuel suppliers need to invest in new infrastructure to handle SAF safely and efficiently.
- Policy Support: Governments need to create policies and incentives to encourage SAF production and use.
Last year, American Airlines CEO Robert Isom pointed out “an urgent need for more and faster action across the public and private sectors” to support aviation decarbonization.
FedEx and other industry leaders agree that the SAF market must grow quickly to help airlines meet their climate goals. The FedEx-Neste agreement is a step in the right direction, but much more needs to be done.
What Does This Mean for Other Airlines and the Future of Air Travel?
FedEx’s move could influence other airlines, both cargo and passenger, to make similar commitments. As the world’s largest cargo airline, FedEx’s actions carry weight in the industry. If more airlines start using SAF at scale, it could:
– Increase demand for SAF, encouraging more production and investment.
– Drive down costs over time, making SAF more affordable for all airlines.
– Help airports like LAX become leaders in sustainable aviation.
The collaboration between FedEx Express and Neste also highlights the importance of partnerships between airlines, fuel producers, and airports. By working together, these groups can solve supply chain challenges and speed up the transition to cleaner fuels.
How Does This Fit into FedEx’s Broader Sustainability Strategy?
FedEx has set a goal of reaching carbon-neutral operations by 2040. To achieve this, the company has committed $2 billion in investments for sustainability projects, including:
– Fleet modernization: Upgrading planes and vehicles to be more fuel-efficient.
– Fuel efficiency improvements: Using advanced flight planning and technology to reduce fuel use.
– Sustainable fuels: Investing in SAF and other low-carbon energy sources.
Aviation is the company’s largest source of emissions, so switching to SAF is a critical part of the plan. By starting with a major deployment at LAX, FedEx can test the benefits and challenges of SAF before expanding to other airports.
What Are the Next Steps for FedEx and the Industry?
FedEx has made it clear that this is just the beginning. The company will continue to look for ways to increase its use of SAF and other sustainable technologies. Key next steps include:
– Measuring the impact: FedEx will track emissions reductions and operational performance at LAX to guide future decisions.
– Expanding SAF use: If the LAX program is successful, FedEx may roll out SAF at other major hubs in the United States and around the world.
– Advocating for policy support: FedEx and its partners will work with governments to create policies that support SAF production and use.
For the broader industry, the FedEx-Neste agreement is a signal that large-scale SAF adoption is possible. Other airlines, airports, and fuel producers will be watching closely to see how the program performs.
What Should Passengers, Shippers, and the Public Know?
For travelers and businesses that rely on air cargo, the shift to SAF means:
– Cleaner air travel: Lower emissions from flights help fight climate change and improve air quality.
– Sustainable supply chains: Companies that use FedEx Express can highlight their support for greener shipping options.
– Industry leadership: By choosing airlines that invest in SAF, customers can encourage more sustainable practices across the sector.
If you’re interested in learning more about sustainable aviation fuel and its role in the future of air travel, the U.S. Department of Energy provides detailed information on SAF, its benefits, and ongoing research: U.S. Department of Energy – Sustainable Aviation Fuel.
Conclusion: A Major Step, With More Work Ahead
FedEx Express’s launch of sustainable aviation fuel flights from Los Angeles International Airport is a major milestone for the company and the aviation industry. By partnering with Neste and committing to large-scale SAF use, FedEx is showing that cleaner air travel is possible today—not just in the distant future.
However, the journey is far from over. The SAF market must grow, costs need to come down, and more airlines must join the effort to make a real difference. As FedEx continues to expand its sustainability initiatives, its actions will likely inspire others to follow suit.
For now, the skies over Los Angeles are a little cleaner, and the path toward sustainable aviation is clearer than ever.
Key Takeaways:
– FedEx Express is using over 3 million gallons of SAF at LAX, covering 20% of its annual jet fuel needs there.
– Neste’s SAF is made from 100% renewable waste and can cut emissions by up to 80% in its pure form.
– This is the largest SAF purchase by a U.S. cargo airline at LAX and a major step toward FedEx’s 2040 carbon-neutral goal.
– Wider SAF adoption faces challenges, but FedEx’s move could encourage more airlines to follow.
– Sustainable aviation fuel is a practical, immediate way to reduce aviation’s environmental impact.
For more updates on sustainable aviation and global mobility trends, visit VisaVerge.com.
Practical Guidance:
– Businesses: Ask your shipping partners about their use of sustainable fuels and how it affects your supply chain’s carbon footprint.
– Travelers: Support airlines that invest in SAF and other green technologies.
– Industry Professionals: Stay informed about SAF developments and advocate for supportive policies in your region.
By working together, airlines, customers, and policymakers can help make sustainable air travel a reality for everyone.
Learn Today
Sustainable Aviation Fuel (SAF) → Jet fuel made from renewable resources reducing carbon emissions over its lifecycle compared to fossil fuels.
Blended Fuel → A mixture of sustainable aviation fuel and traditional jet fuel used in aircraft engines.
Carbon-neutral → Achieving net zero carbon dioxide emissions by balancing emissions with removal or offsetting.
Neste MY Sustainable Aviation Fuel → A specific SAF product made by Neste from 100% renewable waste materials.
Lifecycle Emissions → Total greenhouse gas emissions produced throughout the entire life of a fuel or product.
This Article in a Nutshell
FedEx Express launched a major sustainable aviation fuel program at LAX in May 2025 with Neste, marking the largest U.S. cargo airline SAF purchase. This commitment supports FedEx’s 2040 carbon-neutral goal, using renewable waste fuel to cut emissions substantially and encouraging industry-wide sustainable aviation adoption.
— By VisaVerge.com
Read more:
• Infinium’s Project Roadrunner to build world’s largest sustainable aviation fuel plant in Texas
• Europe’s business aviation faces overcapacity after demand drop
• CAE Vienna opens to serve business aviation training needs in Europe
• Single African Air Market: West African Leaders Drive Aviation Reform
• Arson Attack Damages Airways Aviation France Fleet at Montpellier Airport
