Sustainable Aviation
Deutsche Aircraft Launches D328eco Sustainable Regional Jet Production
German manufacturer begins assembly line for SAF-compatible regional aircraft targeting 50% lower emissions, with production starting in 2025.
In a bold move to reshape the landscape of regional aviation, Deutsche Aircraft has laid the cornerstone for the final assembly line (FAL) of its next-generation D328eco aircraft. The ceremony, held on May 6, 2025, at Leipzig/Halle Airport, marks a significant milestone in the development of a turboprop aircraft that aims to set new standards in efficiency, sustainability, and regional connectivity.
This development is not only a technical achievement but also a strategic initiative that aligns with global decarbonization goals and the European Union’s Green Deal. With increasing pressure on the aviation industry to lower its carbon footprint, the D328eco stands as a timely response to both environmental and economic demands. The aircraft’s production facility is expected to bring substantial benefits to the regional economy while positioning Germany as a leader in sustainable aerospace manufacturing.
The D328eco is a modernized version of the Dornier 328, a regional turboprop aircraft originally introduced in the 1990s. Deutsche Aircraft, inheriting the Dornier legacy, intends to revitalize the regional aircraft market with a product tailored for the 21st century. With a seating capacity of 40 passengers, the D328eco is engineered for short-haul routes, offering reduced fuel consumption and emissions compared to older aircraft in its class.
The new FAL at Leipzig/Halle Airport will span 60,500 square meters—equivalent to eight football fields—and incorporate a CO₂-neutral manufacturing plant, logistics center, commissioning hangar, and administrative offices. Once operational by the end of 2025, the facility will support the production of up to 48 aircraft per year and create between 250 to 350 direct jobs, with an additional 500 in the broader supply chain.
This infrastructure investment reflects a deep commitment to sustainability and regional development. The project is supported by partnerships across logistics, aviation, and governmental sectors, underlining the collaborative nature of modern aerospace projects.
“This milestone represents our commitment to sustainable regional aviation and the revitalization of the German aerospace industry.” — Dave Jackson, CEO, Deutsche Aircraft The D328eco is designed with sustainability at its core. It features Pratt & Whitney Canada’s PW127XT-S engines, which offer improved fuel efficiency and lower maintenance costs. In combination with Collins Aerospace’s advanced avionics systems, the aircraft promises a 25% reduction in CO₂ emissions compared to legacy regional aircraft.
In addition to its baseline efficiency, the D328eco is being developed with compatibility for sustainable aviation fuels (SAF), a move that aligns with broader industry efforts to reduce lifecycle emissions. This makes the aircraft a compelling option for operators aiming to meet future environmental regulations and customer expectations.
From a design standpoint, the aircraft also emphasizes operational flexibility. Its short takeoff and landing capabilities make it ideal for underserved airports, enhancing regional connectivity without requiring major infrastructure upgrades. The D328eco enters a competitive market dominated by established players such as ATR and De Havilland Canada. However, its unique combination of modern technology and environmental focus gives it a potential edge, especially in Europe where policy incentives favor sustainable transportation solutions.
According to the International Air Transport Association (IATA), aviation accounts for approximately 2.5% of global CO₂ emissions. With the European Union targeting net-zero emissions by 2050, regional aircraft like the D328eco could play a crucial role in bridging the gap between current operations and future sustainability goals.
Industry analyst Richard Aboulafia notes, “The D328eco taps into a niche market for regional turboprops, especially as airlines look to replace aging fleets with more sustainable options. However, competition from ATR and others will be a challenge.”
Beyond environmental considerations, the D328eco project is poised to deliver significant economic benefits. The FAL will act as a catalyst for job creation, both directly within the facility and indirectly through the supply chain. Deutsche Aircraft has emphasized local sourcing and partnerships with German and European suppliers to minimize the carbon footprint and maximize regional economic impact.
The facility’s location at Leipzig/Halle Airport is strategic. As one of Germany’s key logistics hubs, it offers excellent connectivity and infrastructure, making it an ideal base for aerospace manufacturing. This decision also aligns with broader trends in decentralizing industrial activity to support regional economies.
Dr. Anna Müller, an aviation sustainability expert at the University of Stuttgart, commented, “The D328eco’s focus on emissions reduction is a step in the right direction, but broader adoption of SAF and hybrid technologies will be critical for long-term impact.”
“The D328eco’s potential to reduce emissions by 25% could position it as a leader in the eco-friendly regional aviation niche.” — Aviation Today, April 2025 Deutsche Aircraft plans to unveil its first test aircraft, the D328eco TAC 1, on May 28, 2025, at the company’s headquarters in Oberpfaffenhofen. This will provide a tangible demonstration of the aircraft’s capabilities and serve as a platform for engaging potential customers and stakeholders.
The company targets the first customer deliveries in 2027, with certification processes already underway. Interest has been expressed by regional airlines and governmental agencies for applications ranging from passenger transport to special missions like medevac and cargo operations. With its emphasis on sustainability, operational efficiency, and regional development, the D328eco represents more than just a new aircraft—it’s a symbol of aviation’s evolving priorities in a post-pandemic, climate-conscious world.
The laying of the cornerstone for the D328eco’s final assembly line is a defining moment for Deutsche Aircraft and the broader regional aviation sector. It signals a return to aircraft manufacturing in Germany with a clear focus on sustainability, innovation, and economic revitalization.
As the aviation industry continues to grapple with environmental challenges and shifting market dynamics, projects like the D328eco offer a glimpse into a more sustainable and resilient future. With strong backing from industry partners and alignment with EU policy objectives, Deutsche Aircraft is well-positioned to make a meaningful impact in the years ahead.
What is the D328eco? Where is the D328eco being manufactured? When will the D328eco be available for commercial use? What makes the D328eco environmentally friendly? Who are the key partners in the D328eco project? Sources: Deutsche Aircraft, AviTrader, Aviation Week, IATA, Aviation Today, European Commission
Deutsche Aircraft’s D328eco: A New Chapter in Sustainable Regional Aviation
The D328eco Vision and Facility
Technological Features and Environmental Impact
Market Position and Industry Context
Socioeconomic Impact and Regional Development
Future Outlook and Deliverables
Conclusion
FAQ
The D328eco is a 40-seat regional turboprop aircraft developed by Deutsche Aircraft, designed to offer improved fuel efficiency and reduced emissions.
The aircraft is being manufactured at a new final assembly line located at Leipzig/Halle Airport in Germany.
Deutsche Aircraft aims to deliver the first D328eco units to customers by 2027, following certification.
The aircraft features advanced engines, modern avionics, and is compatible with sustainable aviation fuels (SAF), resulting in up to 25% lower CO₂ emissions compared to older models.
Deutsche Aircraft has partnered with Pratt & Whitney Canada for engines and Collins Aerospace for avionics, among others.
Photo Credit: DeutscheAircraft
Sustainable Aviation
Asia-Pacific Aviation Growth and Sustainable Aviation Fuel Initiatives 2026
Asia-Pacific aviation growth faces decarbonization challenges with new SAF mandates and Airbus’s just transition strategy at Singapore Airshow 2026.
This article is based on an official press release from Airbus and additional industry reporting regarding the Singapore Airshow 2026.
As the aviation industry gathers for the Singapore Airshow 2026, the Asia-Pacific (APAC) region stands as the focal point of global aerospace growth. According to recent industry forecasts, APAC is projected to account for over 50% of global aviation growth between 2025 and 2026. However, this rapid expansion presents a critical challenge: reconciling a forecast 7.3% increase in passenger traffic with urgent decarbonization goals.
In a press release issued on February 2, 2026, Airbus outlined a strategy focused on a “just transition.” The European manufacturer argues that the adoption of Sustainable Aviation Fuel (SAF) in Asia-Pacific offers more than just environmental compliance; it presents a pathway for regional socioeconomic development and energy sovereignty.
While the primary driver for SAF adoption globally has been carbon reduction, Airbus emphasizes that for the APAC region, the benefits are deeply tied to local economic resilience. The region possesses abundant feedstock potential, including agricultural residues, used cooking oil, and palm oil waste.
According to the Airbus announcement, utilizing agricultural waste for fuel production addresses multiple local issues simultaneously. In many parts of Asia, the burning of agricultural fields contributes significantly to seasonal air pollution. By converting this biomass into SAF, the region can reduce local smog while creating new revenue streams for rural communities.
Airbus describes this approach as a “just transition,” ensuring that the shift to green energy supports developing economies rather than hindering them. The manufacturer notes that developing local production capabilities also boosts “regional energy sovereignty,” reducing the reliance on imported fossil fuels.
“Given the broad socioeconomic diversity… Asia-Pacific is a prime place to demonstrate the possibilities for a just transition. Leveraging co-benefits could open opportunities to build community resilience.”
, Airbus Press Release, February 2, 2026
Beyond manufacturer initiatives, government policy in the region is hardening. Data released in conjunction with the Singapore Airshow highlights a wave of new mandates and targets aimed at accelerating SAF uptake. Most notably, Singapore has confirmed the introduction of a SAF levy for all flights departing from Changi Airport starting October 1, 2026. This levy is designed to fund a national 1% SAF target by the end of the year, with plans to scale to 3-5% by 2030.
Other regional developments include:
The push for decarbonization is also visible on the tarmac. During the Singapore Airshow, an Airbus A350-1000 is performing flying displays powered by a 35% SAF blend. The fuel, supplied by Shell Aviation, was produced via the HEFA-SPK pathway using used cooking oil and tallow.
In a significant move for propulsion technology, Airbus, CFM International, and the Civil Aviation Authority of Singapore (CAAS) signed a Memorandum of Understanding (MOU) on February 2. This agreement establishes Singapore as the world’s first airport testbed for the “RISE” (Revolutionary Innovation for Sustainable Engines) program. The initiative aims to test “Open Fan” engine architecture, which targets a 20% improvement in fuel efficiency.
Additionally, Airbus and Cathay Group have reiterated their commitment to a US$70 million joint investment, originally announced in late 2025, to accelerate SAF production projects with commercial viability in the region.
While the regulatory and technological momentum is palpable, a stark reality remains. Industry data indicates that global SAF output reached only 1.9 million tonnes in 2025, representing a mere 0.6% of total jet fuel demand. With APAC passenger traffic expected to grow by 7.3% in 2026, the gap between demand for travel and the supply of green fuel is widening.
The “green premium”, where SAF costs 2x to 4x more than conventional jet fuel, remains the primary hurdle. While the “just transition” narrative provided by Airbus offers a compelling long-term vision for feedstock utilization, the immediate success of these initiatives will depend heavily on whether the new levies and investments can bridge the price gap quickly enough to meet the 2027-2030 mandates.
What is the “Just Transition” in aviation? When does the Singapore SAF levy begin? What is the current global supply of SAF? Sources:
Asia-Pacific Aviation at a Crossroads: Balancing Growth with a “Just Transition”
The Socioeconomic Case for SAF
Turning Waste into Wealth
Regulatory Momentum and National Mandates
Technological Milestones at Singapore Airshow 2026
New Partnerships
AirPro News Analysis
Frequently Asked Questions
In this context, it refers to decarbonizing aviation in a way that provides economic benefits to developing nations, such as creating jobs in rural areas by using agricultural waste for fuel production.
The levy applies to all flights departing Singapore starting October 1, 2026.
As of 2025, SAF production accounted for approximately 0.6% of total global jet fuel usage.
Airbus,
IATA,
Civil Aviation Authority of Singapore
Photo Credit: Airbus
Sustainable Aviation
FedEx Expands Sustainable Aviation Fuel Program to DFW and JFK Airports
FedEx expands sustainable aviation fuel use to Dallas-Fort Worth and JFK airports, supporting its carbon-neutral goals with 5 million gallons secured for 2025.
This article is based on an official press release from FedEx.
FedEx has officially expanded its SAF program to include Dallas-Fort Worth International Airport (DFW) and John F. Kennedy International Airport (JFK). The logistics giant announced the move on January 29, 2026, marking a significant step in its “Priority Earth” sustainability roadmap. With these additions, FedEx now utilizes SAF at five airports across the United States.
According to the company’s announcement, the expansion is supported by World Fuel Services (WFS), which manages the supply chain and delivery of the fuel. The initiative positions FedEx as the first airline, cargo or passenger, to purchase SAF for regular commercial operations at DFW, a major global logistics hub.
The agreement covers the purchase of approximately 2 million gallons of “neat” (unblended) SAF for these two locations. When combined with agreements for other hubs, FedEx has secured a total of 5 million gallons of neat SAF for delivery throughout 2025.
While the purchasing agreements are calculated in gallons of “neat” SAF, the fuel actually delivered to aircraft is a blend. Safety regulations currently prohibit the use of 100% SAF in commercial aircraft engines. Consequently, the fuel supplied to FedEx at DFW and JFK is a mixture containing a minimum of 30% neat SAF blended with conventional Jet A fuel.
World Fuel Services facilitates this supply, typically sourcing the renewable component from Valero’s Diamond Green Diesel (DGD) joint venture. The SAF is produced via the HEFA (Hydroprocessed Esters and Fatty Acids) pathway, utilizing waste-based feedstocks such as used cooking oil, animal tallow, and distiller’s corn oil. This production method allows for a lifecycle greenhouse gas (GHG) emissions reduction of up to 80% compared to standard petroleum-based jet fuel.
In a statement regarding the logistical achievement, Bradley Hurwitz, Senior Vice President of Supply & Trading at World Fuel Services, noted:
“FedEx’s purchase at DFW and JFK demonstrates how our aviation fuel distribution platform enables carriers to access lower-carbon fuel options with a robust supply chain designed for flexibility and scale.”
This expansion is part of FedEx’s broader strategy to achieve carbon-neutral global operations by 2040. The company has set an interim target to source 30% of its total jet fuel from alternative fuels by 2030. The addition of DFW and JFK complements existing SAF programs at Los Angeles International Airport (LAX), Chicago O’Hare (ORD), and Miami International Airport (MIA). Karen Blanks Ellis, Chief Sustainability Officer at FedEx, emphasized the progress made over the last year:
“Expanding SAF use by FedEx to include our operations at DFW and JFK caps off a successful year of SAF deployments coast-to-coast. While we know there remains work ahead to procure more SAF… we are proud of our steps forward.”
The introduction of SAF at Dallas-Fort Worth is particularly notable. While pilot programs have existed at DFW since 2021, they were largely limited to business aviation. FedEx’s commitment marks the first regular commercial adoption at the airport, signaling a shift from experimental to operational use in the cargo sector.
However, the industry faces significant headwinds. SAF currently trades at a premium of two to five times the price of conventional jet fuel. Furthermore, global production remains less than 1% of total jet fuel demand. While the “book and claim” system and government incentives like the U.S. Inflation Reduction Act help bridge the cost gap, the physical availability of SAF remains the primary bottleneck for large-scale adoption.
By securing 5 million gallons of neat SAF for 2025, FedEx is signaling consistent demand to producers, which is essential for stimulating the investment required to increase production capacity.
Airport officials have welcomed the move as a validation of existing infrastructure capabilities. Because the blended fuel is a “drop-in” solution, it requires no modifications to airport storage tanks or hydration systems.
Robert Horton, Vice President of Environmental Affairs at DFW Airport, stated:
“FedEx’s SAF purchase reflects how airlines, airports, and fuel providers work together within existing airport infrastructure to support the development of more sustainable aviation operations.”
“Neat” SAF refers to the pure, unblended sustainable fuel. It is not used in aircraft in this form due to safety regulations. Instead, it is blended with conventional jet fuel before delivery. Purchasing agreements often cite “neat” volumes to track the exact amount of renewable content purchased.
As of early 2026, FedEx utilizes SAF at five U.S. airports: Dallas-Fort Worth (DFW), John F. Kennedy (JFK), Los Angeles (LAX), Chicago O’Hare (ORD), and Miami (MIA). The specific SAF used in this agreement, produced via the HEFA pathway, can reduce lifecycle greenhouse gas emissions by up to 80% compared to conventional jet fuel.
FedEx Expands Sustainable Aviation Fuel Program to DFW and JFK Airports
Operational Details and Supply Chain
Strategic Context: The “Priority Earth” Goal
AirPro News Analysis
Stakeholder Commentary
Frequently Asked Questions
What is “Neat” SAF?
Where does FedEx use SAF?
What is the emission benefit?
Sources
Photo Credit: FedEx
Sustainable Aviation
Washington Launches Cascadia Sustainable Aviation Accelerator for SAF
The Cascadia Sustainable Aviation Accelerator launches with $20M funding to boost Pacific Northwest Sustainable Aviation Fuel production to 1 billion gallons annually by 2035.
This article is based on official press releases from Alaska Airlines and Washington State University, as well as public announcements from the launch event.
On January 8, 2026, a coalition of government, industry, and academic leaders officially launched the Cascadia Sustainable Aviation Accelerator (CSAA). Unveiled at the Boeing Future of Flight in Mukilteo, Washington, the initiative aims to establish the Pacific Northwest as a global leader in the production and deployment of Sustainable Aviation Fuel (SAF).
According to official announcements, the accelerator is backed by $20 million in initial funding. This capital includes $10 million from Washington State’s Climate Commitment Act funds and a matching $10 million contribution from an anonymous philanthropic donor. The coalition has set an ambitious target: to scale regional SAF production to 1 billion gallons annually by 2035.
The initiative represents a broad partnership designed to bridge the gap between policy, technology, and commercial viability. Washington Governor Bob Ferguson championed the launch, positioning it as both an economic engine and a critical climate solution for the state.
The coalition features major stakeholders across multiple sectors:
“We have all the pieces in place to ensure this once-in-a-generation economic opportunity is realized, and this accelerator will make that happen.”
, Governor Bob Ferguson, via official press release
To address the complex barriers facing the SAF market, the initiative is divided into two complementary arms: the Accelerator and the Institute.
The CSAA focuses on market acceleration, financing, and policy advocacy. Its primary mission is to “de-risk” the industry for producers and investors. By harmonizing tax incentives and aggregating fuel demand from airlines and corporate partners, the Accelerator aims to create a stable market environment that encourages rapid scaling of production facilities. The Institute will handle the technical and scientific challenges of SAF adoption. It will operate a new Sustainable Aviation Fuel Research and Development Center based at Paine Field in Snohomish County. While a permanent facility is scheduled for completion by 2029, the center will open in a temporary commercial space in the coming months.
A key feature of the Institute will be the world’s first “SAF Repository.” This facility will function similarly to a seed bank, collecting, indexing, and distributing fuel samples to researchers globally to standardize testing and certification processes.
“For aviation to remain strong and resilient in the decades ahead, sustainability must be part of its future.”
, Elizabeth Cantwell, WSU President, via WSU News
Sustainable Aviation Fuel is widely considered the most viable near-term solution for decarbonizing long-haul aviation. Made from feedstocks such as agricultural waste, used cooking oil, or captured carbon, SAF can reduce lifecycle emissions by up to 80% compared to conventional jet fuel. However, current supply accounts for less than 1% of global jet fuel usage, and it remains significantly more expensive than fossil-based alternatives.
The Pacific Northwest is viewed as an ideal “test bed” for solving these problems due to its access to renewable hydroelectric power, forestry and agricultural residues, and a deep aerospace talent pool.
The Accelerator aims to support existing regional projects, including:
“This is a systems issue that no one company can solve. You’ve got great companies… ready to use this fuel, but we have to make it available.”
, Guy Palumbo, Amazon Director of Public Policy, via launch event remarks
The launch of the Cascadia Sustainable Aviation Accelerator marks a shift from individual corporate sustainability goals to a systemic regional strategy. While the target of 1 billion gallons by 2035 is aggressive, the bifurcation of the initiative into an “Accelerator” (finance/policy) and an “Institute” (R&D) suggests a mature understanding of the bottlenecks. The primary challenge for the CSAA will be feedstock logistics. While the Pacific Northwest has abundant forestry and agricultural waste, the infrastructure to collect, transport, and process these materials at a scale capable of producing 1 billion gallons does not yet exist. Furthermore, the involvement of corporate giants like Amazon and Microsoft is critical; their willingness to pay a “green premium” for sustainable air cargo and travel could provide the demand certainty that producers need to secure financing for new plants.
Success will likely depend on how quickly the Institute can streamline the fuel certification process, which has historically been a slow hurdle for new SAF pathways.
Sources:
Washington Leaders Launch Cascadia Sustainable Aviation Accelerator to Power PNW SAF Hub
A Public-Private Coalition
Strategic Structure: Accelerator and Institute
The Cascadia Sustainable Aviation Accelerator (CSAA)
The Cascadia Sustainable Aviation Institute (CSAI)
Industry Context and Regional Projects
AirPro News Analysis
Photo Credit: Alaska Airlines
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