DSV Leads 4-Company Deal to Unlock 11M Gallons of SAF

DSV, Microsoft, United Airlines, and Phillips 66 have joined forces to unlock up to 11 million gallons (41.6 million liters) of sustainable aviation fuel. The deal is expected to cut lifecycle greenhouse gas emissions by approximately 100,000 metric tonnes compared to conventional jet fuel. That is the equivalent of removing one freighter from fossil fuel for an entire year.

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What Is the Four-Company SAF Agreement?

DSV, a Danish global transport and logistics company operating in over 90 countries, announced the sustainable aviation fuel partnership in April 2026. It was unveiled at Smart Freight Week 2026. The deal unlocks supply of up to 11 million gallons of SAF from Phillips 66, a U.S. energy company with integrated refining, logistics, and renewable fuels operations.

"This collaboration aligns with DSV's long-term sustainability strategy and reflects our role as a global partner helping customers access lower emission transport solutions at scale. By connecting customers, carriers and fuel producers, we can help turn sustainability ambitions into operational outcomes."

Frank Sobotka, CEO, Air & Sea Division, DSV

Under the structure, United Airlines physically uses the fuel. DSV and Microsoft participate through a book-and-claim model. That model lets companies allocate verified emissions reductions independently of where the physical fuel is burned.

The multi-sector approach is by design. By aligning demand from logistics, technology, and commercial aviation, the partners secure more reliable SAF capacity than any single company could alone. Coordinated, long-term commitments like this are exactly what the SAF market needs to grow at scale.

Book-and-claim links physical SAF use with virtual emissions accounting, enabling companies to fund sustainable aviation fuel and claim verified Scope 3 reductions through auditable registries.

How Does the Book-and-Claim Model Work?

In this agreement, United Airlines receives and burns the physical SAF. DSV and Microsoft do not receive fuel directly. Instead, they claim verified emissions reductions through a book-and-claim system. This lets companies reduce their Scope 3 aviation emissions without operating aircraft.

Both DSV and Microsoft rely heavily on air freight across their supply chains. By investing in SAF through book-and-claim, they fund clean fuel production and receive auditable emissions reductions tied to specific shipments.

The deal runs through three verification systems. The International Sustainability and Carbon Certification (ISCC) confirms that feedstocks are sustainable and the supply chain is fully audited. The Sustainable Aviation Fuel Certificate Registry (SAFc Registry) records each tonne of CO2 reduction and assigns it to a specific company. DSV's internal book-and-claim registry adds a third layer. Together, they create a fully auditable trail for corporate emissions reporting.

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Why Is This United Airlines' Biggest SAF Milestone?

United Airlines will use the 11 million gallons of SAF through its Eco-Skies Alliance corporate SAF program. This deal is the largest contracted SAF supply agreement with a single customer in that program's history, according to United.

The expected lifecycle reduction of 100,000 metric tonnes of GHG emissions is verifiable and contracted, not projected. It is roughly equivalent to grounding one freighter from conventional fuel for a full year. That kind of measurable outcome builds real credibility for SAF as a decarbonization tool.

"This is the largest contracted SAF supply agreement with a single customer, DSV, in the history of our corporate SAF program, the Eco-Skies Alliance, demonstrating the possibility of large-scale greenhouse gas reductions when the members of a value chain, from supplier to end customer, work together."

Lauren Riley, Chief Sustainability Officer, United Airlines

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Why Is Phillips 66 the Right Supplier for This Deal?

Phillips 66 brings proven production scale and operational readiness. Its Rodeo Renewable Energy Complex in California is one of the world's largest renewable fuels facilities. It produces approximately 150 million gallons per year of neat SAF (Phillips 66, 2026). The complex also processes approximately 800 million gallons per year of renewable feedstock, including waste oils, fats, greases, and vegetable oils.

Phillips 66 also operates the Humber Refinery in the United Kingdom. That facility is the country's only commercial-scale SAF producer, according to Phillips 66. Phillips 66's commercial team trades approximately 80,000 barrels of renewable feedstock and product daily. Together, these assets form what the company describes as a global SAF platform.

The SAF delivered through this agreement can cut lifecycle greenhouse gas emissions by up to 80 percent compared to conventional jet fuel. That figure is on a neat basis, per Phillips 66 (2026). It is possible because the fuel comes from waste-based feedstocks such as used cooking oil, fats, and greases.

"Phillips 66 has the integrated assets, logistics network and operational experience to deliver SAF at scale today, not years from now. With this unique collaboration across industries, we're helping turn demand for lower-carbon aviation into reliable, real-world supply with measurable impact."

Ronald Sanchez, Vice President, Aviation, Phillips 66

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How Does This Deal Fit Into the Broader SAF Market?

North America leads global SAF demand. The region held approximately 46.43 percent of the global SAF market in 2025. That position is supported by the Inflation Reduction Act's 45Z Clean Fuel Production Tax Credit. That credit offers up to USD 1.75 per gallon for qualifying SAF (Fortune Business Insights, 2025). U.S. SAF production has been climbing fast, with output nearly doubling between December 2024 and February 2025 according to U.S. Energy Information Administration data.

Global SAF demand is projected to exceed 15 million tonnes per year by 2030, according to the SkyNRG and ICF 2025 Market Outlook. Total industry capacity is expected to reach approximately 18 million tonnes by that date. Beyond 2030, demand could nearly triple to 40 million tonnes by 2035, driven by accelerating mandates in the EU, UK, and Asia (SkyNRG/ICF, 2025).

Deals structured like this one help close the gap. Long-term contracted demand gives energy companies like Phillips 66 the confidence to invest in expanding production capacity. Without that kind of commitment, producers face too much commercial risk to scale.

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What Role Does Microsoft Play in Aviation Decarbonization?

Microsoft has a stated goal of becoming carbon negative by 2030. A meaningful share of its Scope 3 emissions comes from cloud supply chain logistics, which depends heavily on air freight. The company has been active in SAF procurement for several years, using both direct purchase and book-and-claim models.

By joining this agreement, Microsoft reduces its reported aviation emissions without operating aircraft or controlling fuel procurement directly. Its participation also strengthens the demand signal that producers need to justify investment in new SAF capacity.

The global SAF market generated an estimated USD 2.72 billion in revenue in 2025 (Fortune Business Insights, 2025). That figure is projected to reach USD 40.09 billion by 2034, growing at a compound annual growth rate of approximately 33.3 percent over that period. Corporate buyers like Microsoft are a key driver of that growth.

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Why Cross-Sector SAF Partnerships Are the Future

Aviation is responsible for roughly 2 to 3 percent of global CO2 emissions. SAF is the most immediate decarbonization tool available. It is compatible with existing aircraft engines and airport infrastructure. No hardware changes are required for airlines to use it.

Scaling SAF is not something any single company can do alone. Producers need long-term offtake commitments to justify capital investment. Airlines need reliable supply. Corporate buyers need verified emissions reductions for their reporting. The DSV-led agreement brings all four needs together in one structure.

Demand, commercial terms, and operational execution are aligned across the value chain. That is the model the market needs more of to close the gap between current production and 2030 demand targets.

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What This Deal Means for the Industry

The DSV-led SAF agreement is a practical, scalable model. It puts real gallons in aircraft engines, real reductions on the books, and real accountability behind every tonne of CO2 avoided.

Up to 11 million gallons of SAF. Approximately 100,000 metric tonnes of lifecycle GHG reductions. The largest contracted SAF supply agreement in United's Eco-Skies Alliance history. Those are contracted outcomes, backed by four of the most credible operators in their respective sectors.

The global SAF market is growing from USD 2.72 billion in 2025 toward USD 40 billion by 2034. Agreements like this one will shape what verified aviation decarbonization looks like.

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