“Hong Kong has already realised liquefied natural gas [LNG] and biodiesel [fuelling] operations, with 130,000 tonnes of throughput so far,” said Wang Yongxin, president of the Shanghai-listed company, in a press briefing on Sunday.

“But on green methanol, it needs to work hard to establish a reliable supply chain from upstream to downstream, which will require mainland-produced fuel to be brought into, stored and sold in Hong Kong tax-free.”

Wang was speaking at a ceremony to mark the maiden voyage of the ship CM Hong Kong, which is delivering vehicles from China to Europe and calling on the ports of Shanghai, Tianjin and Hong Kong.

Built at a cost of US$96 million by a shipyard in China’s eastern Jiangsu province, the 220-metre vessel is billed as the world’s first large-vehicle carrier that can operate on both traditional fuel and methanol.

Its current fuel mix was one quarter green methanol, Wang said, adding that the fuel cost around four times more than traditional fuel.

“With Europe’s implementation of its carbon emissions-based import tariff regime, we expect to gradually lift our green methanol usage from 2027,” he said.