There are many advantages to liquid-based hydrothermal carbonization (L-HTC) but the need to immerse the biomass in water generates more post-process water, hindering the commercialisation of HTC. To address this issue, this study investigated the feasibility of vapour-based HTC (V-HTC), which minimizes the water required. Dairy manure was hydrothermally treated at temperatures of 200, 230, 255 and 270°C and biomass-to-water ratios (B/W) of 0.1, 0.18, 0.25, 0.43, 0.67 and 1.0 for 20 minutes, then the produced hydrochars were characterized by calorific, proximate, ultimate and thermogravimetric analyses. The results showed that the mass yields of hydrochar decreased with increasing temperature but were essentially stable at high B/W ratios. Notably, the calorific values of the hydrochars increased with increasing temperature and B/W ratio, and the energy density increased by 46%. Due to the higher mass yield and increased energy density, maximum energy yields at each temperature (86.0-97.4%) were observed at a B/W ratio of 1.0. The proximate and ultimate analyses revealed that the degree of coalification, such as the increase in carbon content and decrease in oxygen and volatile matter, progressed more under V-HTC than L-HTC conditions, likely because the lower liquid content in V-HTC facilitates the formation of secondary char and increases the reaction severity due to higher acidity. This study showed a potential approach for upgrading a semi-solid-state biomass by V-HTC.