Ethanol Gains Traction as Marine Fuel Maritime Activity Reports, Inc. June 11, 2026 © bulentcamci / Adobe Stock Shipping companies including Maersk and mining giant Vale are turning to ethanol as a marine fuel to cut emissions as abundant supply and lower cost make it more attractive than other low-carbon fuels, with further commercial usage expected as early as next year. The use of ethanol in shipping could open a new demand channel for the fuel, which in some countries is blended into gasoline, while offering shipowners another pathway to cut conventional fuel use to meet emission reduction targets. Renewed interest follows mounting pressure on the global shipping industry to manage oil price uncertainty as hostilities in the Middle East and closure of the Strait of Hormuz, a vital waterway, highlight the risks of conventional fuel supplies. "Volatile fossil fuel prices strengthen the long-term case for fuel diversification," said Chris Chatterton, maritime adviser at the Global Centre for Green Fuels (GCGF). "What is distinctive about ethanol in this environment is that it can be deployed incrementally - as a blend into methanol on existing methanol-ready vessels, with no major retrofit and no capital commitment to a single-fuel strategy." The shipping industry has been testing alternatives to fuel oil including liquefied natural gas, ammonia, biodiesel and methanol. ETHANOL TRIALS ON SHIPS EQUIPPED WITH METHANOL ENGINES Shipping group Maersk completed its first two sailings on 100% ethanol in the first quarter and last week, following earlier tests of 10% and 50% ethanol blends on a vessel designed to run on either methanol or fuel oil. Maersk views ethanol as a complement to methanol, which has emerged in recent years as an alternative shipping fuel, although green methanol remains limited in supply. "Ethanol is relevant to explore because it has an established global market and existing infrastructure, and it shares properties similar to methanol," a Maersk s