Boeing & US Government Plan To Advance Sustainable Aviation Fuel In APEC Economies

Boeing Co (NYSE: BA), along with the U.S. government, has launched an initiative to boost the development and use of Sustainable Aviation Fuel (SAF) among Asia-Pacific Economic Cooperation (APEC) member countries. 

SAF reduces the lifecycle carbon emission of jet fuel and is a key player to achieve the goals set by the International Civil Aviation Organization (ICAO) and the civil aviation industry to achieve net-zero carbon emissions by 2050.

The certified SAF can cut lifecycle CO2 up to 85% and right now represents only 0.1% of global jet fuel demand.

The main challenges to greater adoption of SAF are limited supply and high cost. 

The U.S. Department of Transportation and the Federal Aviation Administration (FAA), will partner with Boeing to sponsor this project in APEC's Transportation Working Group.

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The initiative will identify the availability of sustainable feedstocks for SAF, analyze new pathways to optimize SAF production, leverage existing industries and infrastructure for SAF production and enable the development of SAF-specific policies for production and use.

"We will foster collaboration and knowledge exchange among APEC economies, all in pursuit of a safe, and more sustainable aviation future," said Boeing Chief Sustainability Officer Chris Raymond.

Also Read: Why Boeing Is On Goldman Sachs' Conviction List

Price Action: BA shares closed lower by 1.01% at $206.60 on Thursday.