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However, unlike ethanol, methanol is highly toxic and unfit for consumption. At room temperature, it is a polar liquid, and is used as an antifreeze, solvent, fuel, and as a denaturant for ethanol. It is also used for producing biodiesel via transesterification reaction.ecause of these toxic properties, methanol is frequently used as a denaturant additive for ethanol manufactured for industrial uses. This addition of methanol exempts industrial ethanol (commonly known as  denatured alcohol  or methylated spirit) from liquor excise taxation in the US and some other countries.
Methanol is widely used as a raw material in the production of other chemicals, particularly formaldehyde. Ethanol, not methanol, is the type of alcohol that's found in beer and wine. Methyl alcohol is an ingredient in some antifreeze mixtures.nstead of using the compound as a fuel in itself, methanol can be used to produce biodiesel, which can be burned in some diesel vehicles without expensive modifications to the engine. The methyl alcohol is heated with vegetable oil, along with sodium or potassium hydroxide, which acts as a catalyst.