# Methanol: Regulation

A few sips can blind: why rules are strict

Source page: https://www.materialinsights.org/chemicals/methanol/regulation/

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.

#### Hazards

| Classification | UN number | Key risks |
|---|---|---|
| Flammable liquid cat 2; acute toxicity cat 3 (oral, dermal, inhalation); STOT single exposure cat 1 (optic nerve) | UN1230 | 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.

## Other sections

- [Summary](https://www.materialinsights.org/chemicals/methanol/index.md)
- [Overview](https://www.materialinsights.org/chemicals/methanol/overview/index.md)
- [Correlation](https://www.materialinsights.org/chemicals/methanol/correlation/index.md)
- [Production route](https://www.materialinsights.org/chemicals/methanol/routes/index.md)
- [Production](https://www.materialinsights.org/chemicals/methanol/production/index.md)
- [Feedstocks](https://www.materialinsights.org/chemicals/methanol/feedstocks/index.md)
- [Cycles](https://www.materialinsights.org/chemicals/methanol/cycles/index.md)
- [Trading](https://www.materialinsights.org/chemicals/methanol/trading/index.md)
- [Movement](https://www.materialinsights.org/chemicals/methanol/movement/index.md)
- [Characteristics](https://www.materialinsights.org/chemicals/methanol/characteristics/index.md)
- [Emissions](https://www.materialinsights.org/chemicals/methanol/emissions/index.md)
- [Relationships](https://www.materialinsights.org/chemicals/methanol/links/index.md)