Next to CH4, CH3OH is the most abundant C1 organics in the troposphere. The redox reaction of CH3OH with N2O4 had been shown experimentally to produce CH3ONO, instead of CH3ONO2. The mechanism for the reaction remains unknown to date. We have investigated the reaction by ab initio MO calculations at the UCCSD(T)/6-311+G(3df,2p)//UB3LYP/6-311+G(3df,2p) level. The result indicates that the reaction takes place primarily by the isomerization of N2O4 to ONONO2 through a very loose transition state within the N2O4-CH3OH collision complex with a 14.3 kcal/mol barrier, followed by the rapid attack of ONONO2 at CH3OH producing CH3ONO and HNO3. The predicted mechanism for the redox reaction compares closely with the hydrolysis of N2O4. The computed rate constant, k1 = 1.43 × 10-8 T1.96 exp (-9092/T) (200-2000 K) cm3molecule-1s-1, for the formation of CH3ONO and HNO3 agrees reasonably with available low-temperature kinetic data and is found to be similar to that of the isoelectronic N2O4 + CH3NH2 reaction. We have also estimated the kinetics for the termolecular reaction, 2 NO2 + CH3OH, and compared it with the direct bimolecular process; the latter was found to be 4.4 × 105 times faster under the troposphere condition. On the basis of the known pollution levels of NO2, N2O4, and CH3OH, both processes were estimated to be of negligible importance to tropospheric chemistry, however.