Shortening is made from palm oil, an oil derived from the tropical palm tree (which is different from the coconut palm). Palm oil is actually the second most common cooking oil in the world, only bested by soybean oil (eww), and is a shelf-stable oil with a high smoke point.
Palm shortening is palm oil with some of the unsaturated fats removed so that it is even more stable and has a thick, luxurious texture that is perfect for baking. The purpose of palm shortening is to replace traditional shortening, which is ridden with trans fats from industrial processing.
The standard practice for harvesting palm trees for palm oil destroys tropical forests and habitats of endangered species, so it’s definitely an important concern! It can be used to make some very delicious smooth frostings and it’s also a great fat for deep frying.