Disclosed herein is a methanol production process that includes at least two membrane separation steps. Using the process of the invention, the efficiency of methanol production from syngas is increased by reducing the compression requirements of the process and/or improving the methanol product yield. As an additional advantage, the first membrane separation step generates a hydrogen-rich stream which can be sent for other uses. An additional benefit is that the process of the invention may debottleneck existing methanol plants if more syngas or carbon dioxide is available, allowing for feed of imported carbon dioxide into the synthesis loop. This is a way of sequestering carbon dioxide.