Methane biotransformation is gaining attention for the bio-industry and environmental protection. This study presents an approach for converting methane to canthaxanthin using Methylococcus capsulatus biomass and Yarrowia lipolytica. Y. lipolytica was engineered to introduce the canthaxanthin biosynthesis pathway, increase the acetyl-CoA flux, and boost hexose catabolism. In methanotroph-derived medium with molasses, canthaxanthin titer reached 1.2 g/L, advancing cost-effective, sustainable bioproduction.