Methanol-tolerant Pt-Pd alloy catalysts supported on to carbon with varying Pt:Pd atomic ratios of 1:1, 2:1 and 3:1 are prepared by a novel wet-chemical method and characterized using powder XRD, XPS, FESEM, EDAX and TEM techniques. The optimum atomic weight ratio for Pt to Pd in the carbon-supported alloy catalyst as established by linear-sweep voltammetry (LSV) and cell polarization studies is found to be 2:1. A direct methanol fuel cell (DMFC) employing carbon-supported Pt-Pd (2:1) alloy (Pt-Pd/C) catalyst as the cathode catalyst delivers a peak-power density of 115 mW/cm(2) at 70 degrees C as compared to peak-power density of 60 mW/cm(2) obtained with the DMFC employing carbon-supported Pt (Pt/C) catalyst operating under similar conditions. In the literature, DMFCs operating with Pt-TiO(2) (2:1)/C and Pt-Au (2:1)/C methanol-tolerant cathodes are reported to exhibit maximum ORR activity among the group of these methanol-tolerant cathodes with varying catalysts compositions. Accordingly, the present study also provides an effective route to design methanol-tolerant-oxygen-reduction catalysts for DMFCs. (C) 2011 The Electrochemical Society. [DOI: 10.1149/1.3596542] All rights reserved.