Shipping giant Maersk has taken a big step to reduce carbon emissions by purchasing eight new tankers powered by carbon-neutral methanol.

Maersk’s goal?

To deliver net-zero emissions by 2050.

The purchase of eight new zero-carbon tankers is only the beginning.

Maersk is committed to launching an entire carbon-neutral fleet by 2030.

These eight new vessels, built by Hyundai Heavy Industries, will prevent 1 million metric tons of carbon from being pushed into the atmosphere – a reduction of nearly 3%.

Green methanol is a newer, carbon-neutral fuel produced using biomass or renewable hydrogen combined with carbon obtained from biomass or capture. Hyundai designed the ships to run on both green methanol and standard fuel since there is currently not enough carbon-neutral fuel available within the market. This should change over time.

Last year Maersk emitted 33 million tons of carbon into the atmosphere.

While some may feel eight ships isn’t enough effort, it is undoubtedly a solid and impressive start.

Maersk’s new ships are expected to launch in 2024 and will carry 16,000 containers each.

The vessels are 10-15% more expensive than the normal vessels Maersk has purchased in the past (costing $175M each ship). However, it is well worth the investment. Many of Maersk’s customers – such as Amazon, Disney, and Microsoft – are focused on cutting their emissions – and the supply chain process for their goods is a part of that.

Nearly 3% of all carbon emissions are a result of ocean transport. Since 90% of world trade happens by boat, you can expect many other shipping companies to follow Maersk’s lead.

As more and more consumers recognize the importance of reducing carbon emissions, demand for zero emissions, green methanol, and other environmentally friendly fuels will only increase.

The decarbonization of fleets, combined with innovative technology, and the carbon offsetting industry, will play a significant role in improving our atmosphere. With so many options at hand, there is a world of opportunity for companies, customers, farmers, and more.