Maersk explores more ethanol use as green fuel to reduce reliance on China

Maersk is looking at using more ethanol as green fuel to cut emissions and reduce reliance on China for e-fuels.

Danish shipping company AP Moller – Maersk is exploring increased use of ethanol as a marine fuel, Reuters reports.

CEO Vincent Clerc said China dominates supply of fuels such as “green methanol.” He noted that the U.S. and Brazil are the world’s leading ethanol producers.

Clerc told the Financial Times that countries may object if most benefits sit in one market. He said a more evenly distributed supply could widen support for shipping decarbonisation.

The shipping sector faces high costs to cut emissions, including retrofits or new vessels built for e-fuels. Reuters also noted that Hapag-Lloyd and North Sea Container Line won a tender to use hydrogen-derived low-emission fuels from 2027 for at least three years.