U.S. Ethanol Could Fuel Growing Fleet of Methanol-Capable Ships, Study Finds

A new study says the United States has enough spare ethanol production capacity to supply a meaningful share of the global marine fuel market, offering shipowners another fuel option as the number of methanol-capable vessels continues to grow.

The report, Marine Ethanol: Unlocking the US Opportunity, published Wednesday by the Maritime Ethanol & Methanol Alliance (MEMA), argues that ethanol could be used in existing methanol dual-fuel engines and bunkering infrastructure with relatively minor modifications, potentially easing concerns over the availability of low-emission methanol.

According to the study, more than 300 methanol-capable vessels are already operating or on order, creating a potential market for ethanol either as a standalone marine fuel or blended with methanol.

The United States is particularly well-positioned to meet that demand. U.S. ethanol plants have an annual production capacity of approximately 18.5 billion gallons, compared with actual production of 16.4 billion gallons in 2025, leaving roughly 2 billion gallons of unused capacity.

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