South Korea’s national flagship carrier HMM and IKEA Supply Chain Operations have signed an agreement to use HMM’s low-carbon ocean transport solution to support shipping’s decarbonization.
As informed, this initiative revolves around the substantial reduction of carbon dioxide equivalent (CO2e) emissions, achieved by substituting conventional fossil fuels with environmentally responsible, waste-based biofuels for the ocean transportation of IKEA products.
HMM’s solution Green Sailing Service aims to help shippers and stakeholders reduce Scope 3 carbon emissions by allowing them to report carbon reductions directly resulting from HMM vessels sailing on low-carbon fuels.
The biofuels used for this service are ISCC-certified biofuels that are manufactured from waste-based biomass. HMM is deploying sustainable biofuel for its FIM service connecting Far East, India, Mediterranean.
The companies aim to lower their environmental impact and contribute to the decarbonization of ocean transportation.
Specifically, the agreement will help reduce around 11,500 tonnes of CO2 emissions from March 1, 2024, until February 28, 2025, with the deployment of such biofuels for the entire IKEA ocean cargo shipment with HMM.
The amount of CO2 emissions (11,500 tonnes) saved through this green partnership with IKEA is capable of transporting 14,534 TEU worth of Zero Emission Cargo from Asia (Busan) to Europe (Rotterdam), according to HMM.
IKEA’s goal is to reduce the relative GHG emissions from its product transportation by 70% by 2030 and be an emissions cargo owner by 2040.
HMM, which launched the Green Sailing Service early this year, intends to enhance the scope of its service through broad cooperation.
In March this year, the South Korean company partnered with Germany’s transport and logistics company Hellmann Worldwide Logistics on Green Sailing Service.
“We will keep looking for ways to make sustainable development our top goal, which will help us make important progress towards carbon neutrality,” HMM’s official concluded.
To remind, IKEA recently partnered with German shipping major Hapag-Lloyd to decarbonize the Hapag-Lloyd container shipments originating from Asia.