Ceramides are a class of lipid molecules widely distributed in eukaryotic cells in small amount. To investigate the possibility of ceramide production by yeast, a yeast strain Yarrowia lipolitica was grown under different conditions including changing carbon/nitrogen ratio, and serine concentration, dissolved oxygen and presence of ethanol. It was found that increased dissolved oxygen supply increased the ceramide content in the yeast 2.5 fold of its normal control level. Ethanol treatment could also enhance ceramide accumulation by 3.3 fold compared with the control although the cell growth was negatively affected, Cellular redox potential was shown to affect ceramide accumulation by the yeast. This was possibly related to the cellular reactive oxygen species presented in the yeast.