SHEIN Partners with DHL to Enhance Sustainable Aviation Fuel Initiatives

Shein commits to sustainable aviation fuel through DHL partnership

On 25 March 2026, Shein announced a partnership with DHL to integrate sustainable aviation fuel into its air cargo operations. The global fashion retailer will adopt DHL’s GoGreen Plus service, marking a significant step in reducing carbon emissions from its logistics network.

This move reflects growing pressure on e-commerce businesses to address the environmental impact of fast fashion. Aviation represents one of the most carbon-intensive elements of global supply chains. For retailers shipping clothing across continents, air freight emissions fall under Scope 3 reporting requirements that UK regulators increasingly scrutinize.

The partnership builds on Shein’s earlier work testing SAF feasibility. In 2025, the company signed a memorandum of understanding with Lufthansa Cargo and ran pilot programs with cargo airlines. These trials aimed to assess how SAF performs in real-world operations, how emissions reductions are certified, and how businesses can account for those reductions in carbon reporting.

SAF offers lifecycle emissions reductions compared to conventional jet fuel. Derived from renewable sources such as waste oils, agricultural residues, or captured carbon, it can be blended with traditional aviation fuel. Airlines and logistics providers allocate verified emission credits to participating customers using internationally recognized accounting methodologies.

Previous trials demonstrate measurable carbon reductions

Shein’s 2025 pilot with Atlas Air procured 187.3 tonnes of SAF across 14 charter flights. According to the company’s reporting, this yielded an estimated reduction of 579.1 tonnes of CO2 equivalent. The figure represents the difference between emissions from conventional jet fuel and the lifecycle emissions attributed to the sustainable alternative.

In addition, Shein collaborated with Air China Cargo on a separate SAF pilot focused on regional operations in China. These trials provided practical data on fuel performance, supply chain logistics, and the administrative processes required to claim verified emissions reductions in corporate reporting.

DHL’s GoGreen Plus service introduces SAF into the company’s aviation fuel supply network. Corporate clients can purchase verified emissions reductions tied to specific shipments or overall cargo volumes. The service uses established carbon accounting standards, allowing businesses to report reductions in line with greenhouse gas protocol requirements.

Mustan Lalani, Shein’s head of sustainability, explained the partnership’s rationale: “Working with partners such as DHL allows us to better understand how sustainable aviation fuel solutions may be incorporated into air cargo logistics.” John Pearson, CEO of DHL Express, described the agreement as “another important milestone in DHL Express’s commitment to driving the green transformation of air logistics.”

Why aviation emissions matter for UK fashion and retail businesses

Air freight represents a significant source of Scope 3 emissions for retailers importing goods from overseas manufacturing hubs. Consequently, businesses selling into the UK market face mounting pressure to measure and reduce these emissions. Public sector procurement rules, particularly PPN 06/21, require suppliers to demonstrate carbon reduction plans that address supply chain emissions.

Fast fashion relies heavily on air cargo to maintain rapid inventory turnover. Shipping garments by air cuts transit time from weeks to days, but generates far higher emissions per tonne-kilometer than sea freight. As a result, retailers using air logistics face difficult choices between speed, cost, and environmental impact.

UK businesses evaluating their own supply chains should note several factors. First, SAF currently costs significantly more than conventional aviation fuel. Prices vary with feedstock availability and production capacity, but SAF typically commands a premium of 2 to 4 times the cost of fossil jet fuel. Secondly, global SAF production remains limited. Supply constraints mean not all air cargo routes or volumes can access SAF blends, even when companies are willing to pay the premium.

Nevertheless, SAF represents the most viable near-term option for reducing aviation emissions. Electric and hydrogen-powered aircraft remain years away from commercial cargo operations. For businesses that depend on air freight, particularly those serving time-sensitive markets or handling perishable goods, SAF offers a practical pathway to emissions reductions that can be verified and reported today.

Regulatory trends in the UK and EU reinforce the commercial case for early adoption. The EU Emissions Trading System now covers aviation emissions, creating direct cost implications for flights into European airports. Meanwhile, UK businesses competing for public sector contracts must demonstrate credible carbon reduction strategies. Supply chain emissions increasingly feature in tender evaluation criteria, making SAF adoption a potential competitive advantage for suppliers.

Commercial considerations for SMEs evaluating SAF partnerships

For smaller businesses, the Shein-DHL partnership illustrates both opportunities and challenges. Large retailers can negotiate directly with logistics providers to incorporate SAF into shipping contracts. They benefit from scale, enabling them to absorb higher fuel costs across large shipment volumes while gaining verified emissions reductions for corporate reporting.

SMEs typically lack the same negotiating power or shipment volumes. However, several logistics providers now offer SAF as an option within standard shipping services. DHL’s GoGreen Plus service, for example, allows businesses to purchase verified emissions reductions without requiring minimum volumes or dedicated contracts. This approach makes SAF accessible to smaller shippers, though at a proportionally higher cost per tonne of CO2 reduced.

Businesses considering SAF should evaluate the cost against alternative carbon reduction strategies. In many cases, shifting freight from air to sea where timing allows delivers larger emissions reductions at lower cost. Similarly, optimizing packaging to reduce weight and volume cuts both emissions and shipping costs. SAF makes most sense for shipments where air freight is commercially necessary and cannot be avoided through operational changes.

Carbon accounting presents another consideration. Businesses using SAF must ensure their logistics provider supplies proper documentation of emissions reductions. This typically includes certificates showing the volume of SAF purchased, the emissions factor applied, and verification against recognized standards such as the Greenhouse Gas Protocol or ISO 14064. Without proper documentation, businesses cannot claim reductions in their own Scope 3 reporting or in carbon reduction plans submitted to public sector procurers.

Insurance, liability, and contractual terms also merit attention. When SAF is blended with conventional fuel at the point of use, businesses need clear agreement on how emissions reductions are calculated and allocated. Logistics contracts should specify whether SAF costs are fixed or variable, how price changes are managed, and what happens if SAF supply becomes unavailable for specific shipments.

SAF supply chains and UK policy context

SAF production in the UK remains limited but growing. The government has set targets for 10% of jet fuel to come from sustainable sources by 2030. Several UK facilities are developing production capacity using waste oils, agricultural residues, and eventually synthetic fuels produced using renewable electricity and captured carbon.

Feedstock availability constrains current production. Used cooking oil and animal fats represent the most readily available inputs, but supply is finite. Next-generation SAF will rely on purpose-grown energy crops, forestry residues, or synthetic production routes. Each pathway faces distinct challenges around land use, sustainability certification, and economic viability at scale.

The UK government supports SAF development through grant funding and regulatory incentives. However, policy uncertainty around long-term mandates and carbon pricing affects investment decisions by fuel producers. Businesses evaluating SAF adoption should monitor policy developments, as government mandates could eventually make SAF use compulsory for certain routes or shipment types, fundamentally changing cost structures across air logistics.

International standards govern how SAF emissions reductions are calculated and verified. The Roundtable on Sustainable Biomaterials and the International Civil Aviation Organization have established certification schemes. These standards assess lifecycle emissions, including feedstock cultivation, processing, transport, and combustion. Only SAF meeting these standards qualifies for verified emissions reduction claims that businesses can use in corporate reporting or public sector tenders.

What UK businesses shipping goods by air should consider now

• Request information from your logistics providers about SAF availability, pricing, and documentation processes for emissions reductions.
• Evaluate where air freight is essential versus discretionary in your supply chain, as modal shift to sea or rail often delivers larger emissions reductions at lower cost.
• Ensure your carbon accounting processes can accommodate SAF documentation and that reductions are properly reflected in Scope 3 reporting.
• Monitor developments in UK SAF policy and mandates, as regulatory changes may affect future availability and pricing of air cargo services.
• Consider how SAF adoption fits within your broader carbon reduction strategy, particularly if you supply public sector clients subject to PPN 06/21 requirements.
• Review shipping contracts to understand how SAF costs are structured and whether you can request SAF inclusion for specific shipments or shipping lanes.

How this partnership signals broader shifts in logistics decarbonization

The Shein-DHL agreement represents a practical test of SAF at scale within e-commerce logistics. While individual pilot programs demonstrate technical feasibility, integrating SAF into ongoing commercial operations reveals different challenges. These include managing cost volatility, ensuring consistent supply across global shipping routes, and coordinating carbon accounting across complex supply chains involving multiple carriers and freight forwarders.

For UK SMEs, the partnership demonstrates that SAF is moving from experimental pilots to commercial service offerings. This transition matters because it signals that logistics providers are building the infrastructure and processes needed to deliver SAF routinely, not just for high-profile corporate announcements. As supply chains mature and costs decline, SAF may become a standard option rather than a premium add-on.

The fashion sector faces particular scrutiny over environmental claims. Businesses in this industry should note that SAF addresses only aviation emissions within the supply chain. Manufacturing, raw material sourcing, packaging, and last-mile delivery contribute substantially to overall carbon footprints. Therefore, SAF should form part of a comprehensive reduction strategy rather than serving as the sole focus of sustainability communications.

Public sector suppliers should pay close attention to how major retailers approach supply chain emissions. Procurement frameworks increasingly expect suppliers to demonstrate not only carbon measurement but active reduction efforts. SAF adoption, particularly when documented with verified emissions reductions, provides concrete evidence of action. However, procurers also expect businesses to pursue the most cost-effective reduction measures first, so SAF should be positioned within a broader hierarchy of actions including modal shift, efficiency improvements, and supplier engagement.

Looking ahead, SAF availability will likely improve as production capacity increases and new feedstocks become viable. Prices should decline as supply expands, though SAF will probably remain more expensive than fossil jet fuel for the foreseeable future. Businesses should therefore view current SAF partnerships as positioning for a longer-term transition rather than expecting immediate cost parity with conventional shipping.

For businesses working toward net zero targets, SAF represents an important tool for addressing residual emissions from air freight that cannot be eliminated through operational changes. However, it should not replace efforts to reduce overall air freight volumes where alternatives exist. The most effective carbon reduction strategies combine modal shift, efficiency improvements, and targeted use of lower-carbon fuels for shipments where air transport remains essential.

We support businesses with carbon reporting and ESG compliance, including Scope 3 emissions from logistics and supply chains. Our net zero program helps SMEs develop practical carbon reduction strategies that meet public sector procurement requirements while controlling costs. Additionally, SBS Academy offers training on supply chain emissions accounting and sustainable procurement practices for teams managing logistics and compliance responsibilities.

Where to find authoritative information on SAF and aviation emissions

The Department for Transport publishes policy updates on sustainable aviation fuel mandates and targets for UK aviation decarbonization. Their guidance includes information on government support schemes and regulatory developments affecting air cargo operations.

The Carbon Independent organization provides emissions factors and carbon accounting guidance for businesses measuring supply chain emissions, including detailed breakdowns for different transport modes and fuel types.

For businesses seeking verification standards, the Greenhouse Gas Protocol offers technical guidance on accounting for Scope 3 emissions from logistics and purchased transportation services, including how to claim reductions from sustainable fuels.

The International Air Transport Association maintains a registry of SAF production facilities and publishes technical standards for fuel quality and sustainability certification that logistics providers must meet.