German container carrier Hapag-Lloyd and logistics giant Kuehne+Nagel have launched their first joint sustainable shipping initiative, aiming to cut emissions on container cargo moving between Asia and Europe. Under the agreement, Kuehne+Nagel will use Hapag-Lloyd's Ship Green programme on the East Asia-North Europe trade between April and December 2026. The pilot will cover around 3,300 TEU of cargo and is expected to reduce emissions by about 2,979 tonnes of CO2 equivalent on a well-to-wake basis.
The programme will use roughly 1,000 tonnes of RED III-compliant sustainable marine fuel made from waste and residue-based feedstocks. The EU's renewable energy directive (RED III) grants such fuels double-counting credit, and they are evaluated jointly under EU ETS and FuelEU Maritime compliance frameworks.
Hapag-Lloyd's managing director of global sales Danny Smolders said the agreement showed how partnerships can help scale practical emissions-cutting measures in shipping: "With Ship Green, we offer a scalable solution that enables our customers to actively reduce their Scope 3 emissions today." Kuehne+Nagel said the partnership would give its customers access to verified emissions-reduction data. This is the programme's second strategic partnership following Hapag-Lloyd's 18,000-tonne Ship Green deal with DSV in April 2026.
The agreement reflects growing demand from cargo owners and logistics groups for lower-carbon shipping options and preparation for tightening environmental rules. Industry analysts expect 'biofuel insetting' agreements like this to become standard in the coming years; Maersk, MSC, CMA CGM and ONE are also scaling green offtake contracts via similar ECO-Delivery / insetting tariffs. The critical supply chain question is at what point the premium spread (typically 5-8% above standard shipping) is absorbed by the shipper versus passed through to retail.
Key Takeaways:
1. Hapag-Lloyd and Kuehne+Nagel launch their first joint green shipping pilot on Asia-Europe lanes.
2. Pilot will cover ~3,300 TEU of cargo between April and December 2026.
3. Around 1,000 tonnes of RED III-compliant waste-based SMF will be used.
4. Target is 2,979 tonnes of CO2-equivalent reduction on a well-to-wake basis.
5. Second strategic insetting partnership for Ship Green after the DSV deal.
