Neste Expands SAF Supply to Cathay Group across Three Regions

Neste has agreed to supply sustainable aviation fuel (SAF) to the Cathay Group for operations in the European Union, the United States, and Asia-Pacific, expanding deliveries across three regions and scaling the airline group’s use of SAF. The agreement centers on Neste MY Sustainable Aviation Fuel program and relies on its existing global supply infrastructure, integrating the fuel into airport distribution systems where Cathay operates passenger and cargo flights.

Under the agreement, Neste is delivering blended SAF for Cathay Pacific flights at Amsterdam Airport Schiphol in the European Union and Los Angeles International Airport in the United States. In Asia-Pacific, Neste is supplying SAF at Singapore Changi Airport for Air Hong Kong, the cargo airline owned by the Cathay Group. In each location, the SAF is blended with conventional jet fuel and supplied through standard airport fueling systems.

Cathay Pacific says the agreement supports its broader decarbonization strategy by expanding access to SAF across its network. “Partnering with Neste represents a key step toward our shared vision of decarbonizing air transport,” says Kristof Van Passel, Head of Procurement Operations and Sustainability, Cathay Pacific. “This collaboration is part of our multifaceted strategy to accelerate the adoption of SAF across our global network, strengthening our commitment to innovation and sustainability, and ensuring a tangible impact for our customers and the industry. SAF continues to be the most viable solution currently available to address flight emissions.”

Neste says the agreement reflects its focus on supporting airlines with multinational operations. Mario Mifsud, Vice President of Renewable Fuels Sales and Commercial for EMEA and APAC, Neste, says the company’s production and distribution capabilities enable airlines to increase SAF use across regions. “Our global production and distribution capabilities allow international airlines like Cathay to scale the use of SAF, a key tool for reducing emissions in aviation,” he adds. “At the same time, it enables their customers to reduce the carbon footprint of their travel and logistics operations.”

Neste MY SAF is produced from waste and renewable raw materials, including used cooking oil and residual animal fats. The fuel is certified for commercial aviation use and can be blended up to 50% with conventional jet fuel without requiring modifications to aircraft engines or airport fueling infrastructure.

Neste’s global SAF production capacity stands at 1.5 million metric t per year, says the company. It plans to expand that capacity to 2.2 million metric t annually by 2027. Across all renewable fuel products, Neste expects total production capacity to reach 6.8 million metric t per year by the same year.

For aviation, where near-term electrification is not viable for long-haul routes, SAF is widely viewed as the most practical option to cut lifecycle emissions. Neste MY Sustainable Aviation Fuel can reduce greenhouse gas emissions by up to 80% compared with fossil-based jet fuel. The fuel is certified for commercial aviation use. It can be blended up to 50% with conventional jet fuel. This enables immediate deployment across existing airline operations.

Neste MY SAF is compatible with aircraft engines and airport fueling infrastructure, reducing operational disruption for airlines. It allows gradual decarbonization without major capital investment in new fleets or systems. The approach is increasingly relevant as the European Union, North America, and parts of Asia drive stricter emissions requirements.

In 2024, global SAF production capacity reached 1.5 million metric t, or roughly 32,000 barrels per day, representing less than 1% of the volume required under IATA estimates. SAF availability is shaped by policy-driven demand and supply dynamics, combining mandates and incentives with voluntary airline commitments. Despite hundreds of announced projects worldwide, industry concerns persist that capacity growth is progressing slowly and may fall short of projected demand as early as 2030.