China Airlines (CAL), a Taiwan-based carrier, and Taiwan Semiconductor Manufacturing Corp. (TSMC) announced the launch of the “SAF Carbon Reduction Program for Corporate Business Travel” in support of World Environment Day. For the first time, a local airline will use domestically produced Sustainable Aviation Fuels (SAF) for corporate business travel and utilize the carbon credit scheme to promote both low-carbon air travel and share the carbon reduction benefits. The two companies are supporting Taiwan’s energy transition through their actions and will work together to realize the goal of net zero carbon emissions by 2050.

China Airlines is an industry leader in SAF. This year, the airline expanded its purchasing of SAF from local fuel manufacturers to refuel international flights departing from Taipei (Taoyuan). SAF can reduce carbon emissions by up to 80% over its full lifecycle compared to conventional jet fuels. The “Corporate SAF Partnership Program” is also being expanded to both upstream vendors and downstream customers. These initiatives will promote the energy transition of the Taiwanese airline industry, support the development of low-carbon transportation, and achieve the goal of a sustainable supply chain. TSMC is the global leader in semiconductor manufacturing and a key corporate client of China Airlines. The new partnership to reduce carbon emissions for travel business will help both companies meet their common ESG goals, establish a benchmark for mutual sustainability, and usher in a new era for SAF development in Taiwan.

TSMC is committed to the fulfillment of its environmental commitments and low-carbon transformation. Its expansion of green initiatives as well as the development of innovative energy-saving and carbon-reducing technologies were a perfect match for China Airlines’ own ESG philosophy. The global presence of TSMC has translated into strong demand for business travel by its employees. The latest partnership to reduce carbon emissions for business travel is expected to reduce related carbon emissions by over 1,000 metric tons a year and build a strong foundation for realizing the goals of net zero together. According to TSMC, China Airlines not only provides high-quality flying services for its employees on business trips around the world, but the airline is also leading the SAF drive in the industry. The two companies joining forces on the cross-sector promotion of sustainability action and support for the energy transition of the value chain is of tremendous symbolic value.

Sustainability has long been promoted by China Airlines. It was not only the first airline in Taiwan to introduce SAF on ferry flights of new aircraft deliveries in 2017, but also the first Taiwan-based carrier to add SAF on a passenger-carrying commercial flight. The airline even partnered with businesses to operate the first one-time collaboration with the value chain on a passenger flight and operated the first freighter fueled with SAF in Taiwanese history, redefining the paradigm for the sustainable development of the air cargo value chain. China Airlines will uphold its pioneering strategy by continuing to cooperate with local aviation fuel suppliers. Supply chain vendors and customers will also be invited to join in supporting the carbon reduction targets of the Taiwanese airline industry as well as the energy transformation of the transportation industry.