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Airbus & Cathay Group Back $70M Sustainable Aviation Fuel Push
Airbus and Cathay Group on October 23, 2025 unveiled a $70 million joint investment to scale sustainable aviation fuel across Asia and beyond.
The investment from Airbus and Hong Kong–based Cathay Group (owner of Cathay Pacific, IATA: CX) targets faster production and wider adoption of sustainable aviation fuel (SAF) for commercial flights. The partners say the $70M will help build supply chains, cut lifecycle emissions, and make low‑carbon fuel options more available to carriers operating in the Asia‑Pacific region.
The deal is positioned as a regional accelerator with global reach: funds will support SAF production scalability, logistics at airports, and early offtake agreements that encourage producers to expand capacity. Airbus is framing the move as part of a broader sustainability push, while Cathay Group aims to secure greener fuel for its network and joint ventures.
Why this matters: SAF (sustainable aviation fuel) typically lowers lifecycle greenhouse‑gas emissions compared with fossil jet fuel when produced from sustainable feedstocks and proper supply chains. Wider SAF availability removes a major bottleneck for airlines that want to reduce carbon intensity but currently face limited fuel supply and high costs.
What the investment means for sustainable aviation fuel
The $70M is intended as catalytic capital rather than a full build‑out fund. Expect initial focus areas to include feedstock sourcing, pilot production plants, fuel certification support, and airport delivery infrastructure. The announcement highlights a public‑private dynamic where OEMs and operators use capital and procurement influence to de‑risk early SAF projects.
- Key goals: scale sustainable aviation fuel production and distribution across Asia;
- Support SAF offtake deals to give producers revenue certainty;
- Improve airport fuelling logistics so airlines can access lower‑carbon fuel blends more easily.
Airbus and Cathay Group’s move follows growing pressure from regulators, corporate customers, and passengers for cleaner flying. While $70M won’t solve global supply constraints alone, it can accelerate market signals and unlock follow‑on investment. Expect airlines, airports, and governments in the region to watch how quickly SAF volumes and airport delivery options improve.
