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Chinese Shipping Giants Team Up to Push Dimethyl Ether as a Green Marine Fuel

Published: Dec. 6, 2025  2:22 a.m.  GMT+8
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The 200,000-ton container ship COSCO Shipping Gemini enters Qingdao Port in East China’s Shandong province on Nov. 19, 2025. Photo: VCG
The 200,000-ton container ship COSCO Shipping Gemini enters Qingdao Port in East China’s Shandong province on Nov. 19, 2025. Photo: VCG

A coalition of top Chinese state-owned enterprises and academic institutions has launched a campaign to promote dimethyl ether (DME) as a next-generation marine fuel, positioning it as a cleaner and safer alternative to more established options like methanol and ammonia.

The initiative, announced at the 2025 Marintec China exhibition in Shanghai, aims to jointly develop DME-related technologies, including fuel production, engine systems, refueling infrastructure and safety standards. The alliance brings together China COSCO Shipping Corp. Ltd., China State Shipbuilding Corp. Ltd., Shanghai International Port (Group) Co. Ltd., China National Agricultural Development Group Co. Ltd., and the China Classification Society. Additional members include the Shanghai Petrochemical Research Institute under China Petroleum and Chemical Corp. (Sinopec), and Shanghai Jiao Tong University.

The effort comes amid mounting urgency in the global shipping industry to cut emissions. Although the International Maritime Organization (IMO) has delayed a vote on its proposed net-zero emissions framework until October 2026, major carriers have pledged to fast-track their transition to alternative fuels. Supporters say DME offers a range of advantages — including safety, fuel purity and engine compatibility — that could help it emerge as a viable mainstream solution.

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  • A coalition of major Chinese state enterprises and universities launched an initiative to promote dimethyl ether (DME) as a next-generation, cleaner marine fuel.
  • The alliance aims to develop DME technologies, citing its safety and engine compatibility advantages over methanol and ammonia; China leads globally with nearly 250 methanol/ammonia projects.
  • Challenges include lack of large-scale DME infrastructure and lower energy density, but demonstration projects like DME-powered buses and engine R&D are underway.
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Who’s Who
China COSCO Shipping Corp. Ltd.
China COSCO Shipping Corp. Ltd. is a Chinese state-owned enterprise. It is part of a coalition promoting dimethyl ether (DME) as a next-generation marine fuel. The company is involved in developing medium-speed DME engines for specialized ships and noted DME's potential to lower retrofitting costs due to its compatibility with conventional engines.
China State Shipbuilding Corp. Ltd.
**China State Shipbuilding Corp. Ltd.** is a key member of a coalition promoting dimethyl ether (DME) as a next-generation marine fuel. They are actively involved in developing DME-related technologies. Specifically, China State Shipbuilding Corp. Ltd. and Shanghai Jiao Tong University are co-developing a low-speed DME engine for large vessels.
Shanghai International Port (Group) Co. Ltd.
Shanghai International Port (Group) Co. Ltd. (SIPG) is a Chinese state-owned enterprise involved in a coalition promoting dimethyl ether (DME) as a next-generation marine fuel. SIPG is part of an initiative aimed at developing DME-related technologies, including fuel production, engine systems, bunkering infrastructure, and safety standards. This effort aligns with the global shipping industry's push to reduce emissions.
China National Agricultural Development Group Co. Ltd.
China National Agricultural Development Group Co. Ltd. (中国农业发展集团有限公司) is part of a Chinese coalition promoting dimethyl ether (DME) as a next-generation marine fuel. They are working with COSCO Shipping to develop medium-speed DME engine models for specialized ships.
China Petroleum and Chemical Corp.
China Petroleum and Chemical Corp. (Sinopec) is involved in promoting dimethyl ether (DME) as a next-generation marine fuel. Their Shanghai Petrochemical Research Institute is part of a coalition aiming to develop DME-related technologies. This initiative highlights Sinopec's participation in advancing cleaner fuel alternatives for the global shipping industry.
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