What this tab covers How it is regulated and what could disrupt supply: hazard classification, rules in the EU, US and India, anti-dumping duties and other trade measures, and supply-risk notes.
Toxic if swallowed, causing blindness and death from small amounts; adulteration of alcoholic drinks kills people in India regularly. Low flash point (about 11 C).
Main rules
Where
Rule
Effect
EU
REACH registration; Seveso III; RED and FuelEU Maritime count renewable and low-carbon methanol
creates demand for certified bio and e-methanol
IMO
IGF Code interim guidelines for methanol fuel; Net-Zero Framework penalties of $100-380/t CO2 under discussion (Argus)
makes green methanol competitive for shipping if adopted
China
M15/M100 methanol fuel programmes in several provinces
supports fuel demand
India
Rule
Effect
MSIHC Rules 1989 (methanol listed as hazardous chemical)
storage permits and on-site emergency plans
Customs duty waiver on methanol and 40 petrochemicals, April to 15 July 2026, then 7.5% restored
temporary relief during Hormuz disruption
NITI Aayog methanol economy programme (M15 petrol blending, DME in LPG)
blending targets not yet met
Coal and lignite gasification programme, Rs 37,500 crore (Crisil, 2026)
support for coal-to-methanol and other syngas chemicals
Trade measures
US sanctions on Iranian methanol exports (tightened 2025)
India's temporary duty waiver (Apr-Jul 2026)
EU CBAM does not yet cover methanol (indicative)
Supply risk
High for India: 98% imported, mostly from the Gulf, with Hormuz carrying about a third of seaborne trade. Globally, supply is diversified across the US, Trinidad and the Gulf, but China's coal-based capacity is not traded.