⛽ 2026 could mark the dawn of a new era in green shipping.
While methanol has been available at over 130 ports worldwide, Japan's shipping industry was initially slow to adopt this clean fuel alternative. Now, Japanese shipbuilders are making a major comeback with world-first technologies.
Why methanol? And what's happening in 2026? Here's your guide to the shipping industry's green revolution.
Why Methanol Fuel Ships Are Gaining Momentum
The Urgent Need for Maritime Decarbonization
In July 2023, the International Maritime Organization (IMO) made a landmark decision: achieve net-zero greenhouse gas emissions from international shipping by around 2050. With global shipping responsible for approximately 2-3% of worldwide CO2 emissions, reducing this footprint has become an environmental imperative.
The European Union introduced the FuelEU Maritime regulation in 2025, making GHG emissions from ships a direct cost factor. The IMO is also developing a maritime emissions trading scheme targeting 2027 implementation. The message is clear: the era of carbon-cost shipping has arrived.
The Advantages of Methanol Fuel
Methanol offers several compelling advantages as a next-generation marine fuel.
First, environmental performance. Compared to conventional heavy fuel oil, methanol can reduce sulfur oxide (SOx) emissions by up to 99%, nitrogen oxide (NOx) by up to 80%, and particulate matter (PM) by up to 95%. CO2 emissions can be cut by 10-15%. When using green methanol—synthesized from renewable hydrogen and captured CO2—reductions of 60-90% are possible.
Second, practicality. Methanol remains liquid at ambient temperature, unlike LNG which requires cryogenic storage. It's already available at over 130 ports globally, and existing infrastructure can be leveraged. Compared to ammonia, methanol is less toxic and easier to handle.
Third, retrofit compatibility. Existing ships can be converted to methanol fuel with relatively minor modifications, reducing capital investment requirements. Dual-fuel engines that can run on both methanol and conventional fuel oil ensure operational flexibility, even in ports without methanol bunkering facilities.
Challenges and Limitations
Methanol does have its drawbacks. Its energy density is less than half that of heavy fuel oil, meaning larger fuel tanks are needed for equivalent range—potentially reducing cargo capacity.
With a flash point of just 12°C and corrosive properties, additional safety measures are essential. In Japan specifically, the methanol bunkering infrastructure remains underdeveloped, with limited supply points available.
Notable Methanol Ships Launching in 2026
World First: Tsuneishi's Methanol Dual-Fuel Kamsarmax Bulker "BRAVE PIONEER"
On January 15, 2026, a historic vessel was delivered at the Tsuneishi Group's Philippine shipyard (TSUNEISHI HEAVY INDUSTRIES in Cebu): the world's first methanol dual-fuel Kamsarmax bulker, named "BRAVE PIONEER."
The naming ceremony was attended by Philippine President Ferdinand Marcos, marking a milestone for the country's shipbuilding industry. At 229 meters in length with a cargo capacity of 98,000 cubic meters, this versatile vessel can transport the three major bulk commodities: iron ore, grain, and coal.
Tsuneishi Shipbuilding has received orders for over 27 methanol fuel ships and aims to make all vessels built by 2035 compatible with next-generation fuels.
February 2026: 5,900-TEU Methanol Container Ship
At Tsuneishi Group's Zhoushan shipyard in China, the group's largest methanol-fueled 5,900-TEU container ship is scheduled for completion in February 2026. The main engine is a 38,400-horsepower unit from Mitsui E&S—a first for domestic adoption.
Japan's First: Mitsubishi Shipbuilding's Methanol RORO Vessels (2027 Delivery)
Mitsubishi Shipbuilding has received orders from Toyofuji Shipping and Fukuju Shipping for Japan's first methanol-fueled RORO (roll-on/roll-off) vessels. Two ships are scheduled for delivery during fiscal 2027.
These car carriers, designed for trucks and trailers to drive on and off, will be the first methanol-fueled vessels for Japanese domestic routes. Mitsubishi Gas Chemical will supply the fuel methanol, with group company Kokuka Sangyo handling bunkering operations using existing methanol tankers.
NYK Group's First Methanol Dual-Fuel Bulker "Green Future"
In May 2025, the NYK Group's first methanol dual-fuel bulk carrier "Green Future" was delivered at Tsuneishi's Hiroshima factory. At 199.99 meters long with a deadweight of approximately 65,700 tons, the vessel will be operated by NYK Bulk & Projects under time charter from Kambara Kisen.
Industry Leaders Driving Maritime Decarbonization
Tsuneishi Shipbuilding: The Methanol Pioneer
Based in Fukuyama City, Hiroshima Prefecture, Tsuneishi Shipbuilding leads the world in methanol fuel ship development. With facilities in Japan, the Philippines (Cebu), and China (Zhoushan, Zhejiang), the company has built a global production network. The Kamsarmax bulker is their flagship vessel type, with over 400 delivered to date.
In October 2025, they also delivered Japan's first hydrogen-blended engine tugboat "Tenou," demonstrating their commitment to exploring all next-generation fuel options.
A.P. Moller-Maersk: Champion of Methanol Adoption
Danish shipping giant A.P. Moller-Maersk has been aggressively promoting methanol fuel ships. Since 2021, they've ordered over 25 methanol-capable container ships, targeting net-zero GHG emissions across all operations by 2040.
In April 2024, Maersk held a naming ceremony in Yokohama for their new methanol container ship "Astrid Maersk." The company is collaborating with shippers like Nissan Motor to use green methanol fuel for parts transportation.
Japanese Government Initiatives
Japan's Ministry of Land, Infrastructure, Transport and Tourism established a working group in September 2024 to develop methanol bunkering hubs. The concern: without the ability to fuel methanol ships, Japanese ports risk losing international competitiveness. Starting with Yokohama Port, green methanol supply infrastructure development is underway.
The Promise of Green Methanol
The Path to Carbon Neutrality
Currently, most methanol is produced from natural gas or coal. But the future lies in green methanol—synthesized from renewable hydrogen and CO2 captured from the atmosphere or industrial emissions, achieving lifecycle carbon neutrality.
Maersk has partnered with Chinese wind power giant Goldwind to secure 500,000 tons of green methanol annually starting in 2026. Mitsubishi Gas Chemical is also considering green methanol production at their Niigata plant.
Methanol by Color
Methanol is classified by "color" based on its production method: brown methanol from coal gasification, gray methanol from natural gas, blue methanol using CCS-captured CO2, and green methanol from biomass or renewable energy sources. The maritime industry's decarbonization ultimately depends on transitioning to green methanol.
Looking Beyond 2026
2026 won't just see methanol ships—ammonia fuel ships will also begin demonstration voyages. NYK Line plans to complete the world's first ammonia-fueled ammonia carrier with domestic engines by November 2026, with plans for 3 vessels by 2030 and 12 more between 2031-2033.
Ships typically operate for over 20 years, meaning zero-emission vessels must be introduced now to achieve 2050 carbon neutrality. Japanese shipbuilders are developing technologies across multiple next-generation fuels: methanol, ammonia, hydrogen, and LNG.
Maritime decarbonization affects our daily lives. Food, clothing, electronics shipped from overseas—all transported by sea. The spread of methanol fuel ships will contribute to supply chain-wide decarbonization and directly impact corporate ESG ratings.
Japan is seeing methanol fuel ships emerge in earnest from 2026. What about your country? We'd love to hear about maritime decarbonization efforts in your region and your thoughts on alternative fuels. Share your perspective!
References
- https://trafficnews.jp/post/622611
- https://www.tsuneishi.co.jp/news/
- https://www.mhi.com/jp/news/240618.html
- https://www.nyk.com/news/2025/20250514_02.html
- https://www.mgc.co.jp/corporate/news/2024/240618.html
- https://www.decarbonation-tech.com/ship_22/
- https://www.mlit.go.jp/maritime/content/001740220.pdf
Reactions in Japan
Tsuneishi's methanol fuel ship has finally been completed. Having the Philippine president attend shows how big this news is. Happy to see Japanese shipbuilding technology leading the world again.
Methanol only reduces CO2 by about 10%? Honestly seems underwhelming. Feels half-baked compared to zero-emission ammonia and hydrogen. If it depends on green methanol becoming widespread, that's still a long way off.
The problem is there are almost no places in Japan to refuel methanol. Yokohama Port seems to be making progress, but what about other ports? The technology won't matter if infrastructure can't keep up.
Tsuneishi receiving orders for 27 methanol fuel ships is impressive. Worth watching as a decarbonization-related stock. Isn't this the first bright news for the shipbuilding industry in a while?
Some say methanol is dangerous due to its low flash point, but LNG was also viewed with concern at first. Technology progresses. With dual-fuel engines that can also use heavy oil, this seems like a realistic option for the transition period.
Learned in class that ships account for 2-3% of global CO2 emissions. More methanol ships should definitely help. But widespread adoption might be difficult unless green methanol production costs come down.
Major companies are rapidly advancing with next-gen fuel compatibility, but I worry if small and medium shipyards can keep up. Skills like methanol fuel tank fabrication aren't easy to acquire. Industry polarization seems likely.
So RORO ships are going methanol? I board these daily for work, and I welcome it if it's good for the environment. But I'm worried about potential accidents. Hope they implement proper safety measures.
Maersk has ordered over 25 ships while Japanese shipping companies seem to be mostly watching. Won't they panic when IMO regulations kick in? I understand the difficulty of early investment decisions, but still.
Toyofuji Shipping's methanol RORO vessels completing in 2027. Great that finished vehicle transport is also decarbonizing. As a shipper, we can promote CO2 reduction across the entire supply chain.
Good that MLIT set up a methanol bunkering study group, but actual infrastructure will still take time. With 130 ports worldwide already capable of supply, Japan undeniably feels behind.
Mitsubishi Gas Chemical entering methanol fuel supply. If they can produce green methanol in Niigata, it could be a new business opportunity. The chemical industry wants to ride the decarbonization tailwind too.
Looks like I'll be trained as crew for methanol fuel ships. Handling new fuel is nerve-wracking, but we have to adapt to the times. Will do my best with safety first.
Methanol fuel ship adoption could be a chance for Japan's shipbuilding revival. We've been pressured by China and Korea, but environmental tech could differentiate us. The issue is domestic demand—we need to advance domestic shipping decarbonization too.
Methanol is less toxic than ammonia and easier to handle than hydrogen. I think it's the most balanced transition fuel. The ability to switch to green methanol in the future is also attractive.
Great to see Maersk pushing methanol ships. Proud as a Dane. The 2040 net-zero goal is ambitious, but ordering over 25 vessels shows they're serious.
US port infrastructure is lagging on methanol compatibility. Worried about losing competitiveness as Europe and Asia move ahead.
Germany's shipbuilding industry should accelerate methanol fuel ship development. Seeing Japan roll out world-firsts, Europe can't afford to fall behind.
Chinese shipyards are also increasing methanol ship construction. Goldwind's green methanol supply contract with Maersk demonstrates China's renewable energy capabilities.
As an environmental activist, I admit methanol isn't perfect but it's progress. The speed of transition to green methanol matters though. Fossil-fuel derived methanol defeats the purpose.
Korea's Hyundai Heavy Industries is also building methanol ships for Maersk. Competition with Japan is fierce, but technological rivalry benefits the whole industry.
Norway prioritizes hydrogen fuel ship development, but methanol can't be ignored as an option. Nordic maritime industry should take diverse approaches.
Singapore's ports are rushing to set up methanol bunkering as Asia's hub. Surprised Japan is lagging behind.
From Italy's shipbuilding perspective, Japan's methanol ship technology is impressive. Mediterranean shipping will have to change due to CO2 regulations too.
Australia is a major exporter of iron ore and coal. More methanol-fueled bulk carriers would help decarbonize exports. Watching closely as a shipper.
As someone from an oil-producing Middle Eastern country, decarbonization brings mixed feelings. But we might find new business opportunities in methanol and ammonia production.
Baltic ports in Poland will likely need methanol capability in the future. With EU regulations tightening, we need to start preparing.
Working at a Spanish shipping company, but methanol ships haven't come up yet. Seems like we'll follow after the majors move.
As a Japanese living in the US, I have perspectives from both countries. Japan's technology is impressive, but scaling up might lose to the US or China.
Rotterdam Port in the Netherlands already offers methanol bunkering. As one of the world's largest ports, leading in decarbonization infrastructure creates competitive advantage.