Cathay Pacific Airways in Hong Kong signed an additional agreement for the use of Sustainable Aviation Fuel (SAF).

The agreement was signed with Kintetsu World Express (KWE), a Japanese logistics company, according to a statement. This latest agreement expands into a three-year partnership, enabling KWE to procure SAF environmental attributes from Cathay through 2027.

Since 2021, KWE has been in discussions with Cathay regarding the use of SAF. In April 2022, KWE participated in Cathay’s pilot SAF program for corporate customers as one of the founding partners.

In 2023, KWE signed a two-year contract to reduce its own Scope 3 emissions as well as to establish a mechanism for sharing SAF environmental attributes with its customers. The company will continue to leverage opportunities to reduce its own Scope 3 emissions, provide customers with ongoing low-carbon transportation options, and contribute to fostering the momentum of SAF adoption, particularly in Japan and Asia.

In 2024, Cathay Pacific and HSBC Hong Kong launched an initiative to support the use of SAF in Hong Kong. HSBC Hong Kong entered into a one-time purchase agreement for around 3,400 metric tons of SAF produced by EcoCeres, which will be used in Cathay Pacific flights departing from the Hong Kong International Airport.

Cathay aims to achieve net-zero carbon emissions by 2050 and to use SAF for 10% of Cathay Pacific’s total fuel consumption by 2030. To accelerate the transition to SAF, Cathay launched its Corporate SAF Program in 2022, enabling members to reduce their indirect emissions associated with air transportation. HSBC Hong Kong was a launch member of the Cathay Corporate SAF Program, which had a total commitment of over 6,050 metric tons of SAF in 2024.

Major airlines have set a target of replacing 10% of their aviation fuel with SAF by 2030, but the actual existing supply still accounts for less than 1% of total aviation fuel, as manufacturing costs remain high.