The global methanol market was worth more than USD xx billion in revenue in 2018 and is expected to cross USD xx billion in 2023, growing at a healthy CAGR of over xx% during the forecast period.
Methanol is an organic compound produced from natural gas or coal bed methane. It is largely used in manufacturing a number of chemical derivatives, such as formaldehyde, dimethyl terephthalate (DMT) and acetic acid. Some of the other important uses include as a feedstock for methyl tertiary butyl ether (MTBE), methyl methacrylate (MMA), methylamines, chloromethanes, glycol ethers and methyl mercaptan production.
Rising demand of solvent from various industries such as construction, engineering polymers, and other industries is likely to drive the methanol market. As methanol is a major raw material for these industries, demand for construction, engineering polymers, and others is expected to fuel the growth of this market. Demand for construction, engineering polymers, and other industries are actually increasing because of growing population and extra income in developing countries. Additionally, demand for methyl tertiary butyl ether (MTBE), methyl methacrylate (MMA), methylamines, chloromethanes, glycol ethers and methyl mercaptan is likely to increase at a greater rate because of an upsurge in demand due to growing end-use markets like construction, automotive fuel, and other industries. This demand is growing at a higher rate, which in turn will boost consumption of methanol.
Drivers and Restraints of Methanol Market
Growing investments in downstream industries in regions like the Asia and Americas are likely to offer tremendous possibilities for methanol market in the future. As a result of accessibility to raw material, multinational businesses are investing in resource-rich regions to be able to limit the overall production cost.
Methanol is exposed to the probability of volatility in supply and price of natural gas and coal bed methane. The production costs are also a huge concern for the market. Methanol is a VOC and explosive in nature and is harmful to the environment. Existing and future regulations concerning the use of methanol in end products are likely to challenge the market growth.
Methanol Market by Region
Asia was the largest consumer of methanol and this pattern is anticipated to continue to be identical over the following few years. Consumption in Asia is showing upward trend because of increase in economic activity in China. China, India, and Japan were the largest consumers of methanol in this region. Growing demand for construction, engineering polymers, automotive fuel and other industries will drive methanol market in Asia. Consumption of methanol in North America was second highest and is likely to grow at a reasonable rate next to Asia. Europe is likely to grow at a significant rate due to demand from construction, engineering polymers, and other industries. Demand from the Middle East and South America was low relatively and is likely to stay same in the next few years.
Top players in this market include Methanex Corporation, Petroliam Nasional Berhad (PETRONAS), Reliance Industries Limited, AR-RAZI Saudi Methanol Company, RAMA Petrochemicals Ltd., and Gujarat Narmada Valley Fertilisers & Chemicals Limited.
The report covers exhaustive analysis on:
- Global Market Segments
- Global Market Size
- Global Market Competitive Landscape
- Production Technology
- Global Market Value Chain
- In depth summary of parent market
- Altering market characteristics in the industry
- Detailed market segmentation
- Historical and forecast market size in terms of volume and value
- Current industry developments
- Competitive landscape
- Potential and niche segments, regions showing promising growth