For high-quality biodiesel fuel production from oils/fats, the catalyst-free two-step supercritical methanol process has been developed in a previous work, which consists of hydrolysis of triglycerides to fatty acids in subcritical water and subsequent methyl esterification of fatty acids to their methyl esters in supercritical methanol. In this paper, therefore, kinetics in hydrolysis and subsequent methyl esterification was studied to elucidate reaction mechanism. As a result, fatty acid was found to act as acid catalyst, and simple mathematical models were proposed in which regression curves can fit well with experimental results. Fatty acid was, thus, concluded to play an important role in the two-step supercritical methanol process. (c) 2006 Elsevier Ltd. All rights reserved.