The methanol market is growing at pace. This can be ascribed to the increasing usage of methanol in the manufacturing of petrochemicals, including, acetic acid, olefins, methyl tert-butyl ether/tert-amyl methyl ether, dimethyl ether, formaldehyde, and solvent.
Furthermore, there is a surge in the need for methanol-based fuel, as it is one of the substitute fuels for automobiles, which would help to keep the environment green and clean.
Based on feedstock, the methanol industry is divided into coal, natural gas, and heavy liquid. Between these, the natural gas category held a substantial share. This can be credited to the increased use of natural gas for the creation of methanol. Likewise, the production procedure of natural gas is economical and easy.
On the basis of application, the methanol market is divided into, acetic acid, methanol to olefins/methanol to propylene, Formaldehyde, Formaldehyde, MMA, DME, biodiesel, and solvents. Among these the formaldehyde category is projected to grow gradually in the years to come, credited to its wide variety of applications like manufacturing of building materials and many household items, as per the report of P&S Intelligence.
In addition, formaldehyde is used extensively in the production of interior-molded components of vehicles to increase fuel efficiency and reduce weight. The usage of formaldehyde as a preservative in organic materials stop the development of bacteria.
In APAC, the demand for petrochemicals is growing aggressively, which would eventually contribute to the growth of the methanol industry. In the petrochemical market, methanol is extensively used in the creation of DPT, DME, acetic acid, and formaldehyde.
As the petrochemical sector is growing and the usage of methanol-based fuel is also surging in Japan, China, and India, the requirement for these chemicals will grow more and more in the APAC region.
Furthermore, in the APAC region, China is the largest consumer of methanol, mainly because of the existence of a large base of businesses in China. Other factors include rising automobile production, increasing construction activities, and the developing electronics sector