! Jinzhong in Shanxi is building a methanol economy industry cluster worth hundreds of billions

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Methanol is liquid sunlight, known as clean coal, cheap oil, compact gas, mobile electricity, and liquid hydrogen. Jinzhong in Shanxi has adopted the development of the methanol economy as an effective measure to implement the **\"dual carbon\" strategy and drive transformation. It has established a new methanol economy ecosystem covering the entire chain from vehicles and methanol to transportation, stations, and capture processes, aiming to create a high-level industrial framework for the methanol economy worth hundreds of billions of yuan and to lead its development. Shanxi is an important coal chemical industry hub in China, boasting various production methods such as coal-to-methanol and coke oven gas-to-methanol. It possesses the full range of production technologies for the methanol industry and has the capacity for large-scale production and supply. Currently, Shanxi Province has a methanol production capacity of 7.18 million tons, ranking fifth in the country, and it has a direct impact on the pricing of methanol nationwide. In terms of the production structure, in Shanxi, methanol production from coke oven gas and methanol produced as a by-product of ammonia synthesis account for nearly 70% of total production; this approach enables the reuse of resources at lower costs. The carbon dioxide emissions over the entire lifecycle are about one-third those associated with methanol production from coal, thereby providing an industrial foundation for the use of cleaner methanol fuels. At the same time, Shanxi is also a major province for freight transportation. Thanks to the extraction and transport of mineral resources such as coal, iron, and aluminum, there are numerous scenarios for short-distance as well as medium- and long-distance deliveries, resulting in a significant number of new freight vehicles being added to the fleet or replaced. Currently, the province has around 450,000 heavy trucks in use. With an average replacement rate of 13% to 15% in recent years, there is a demand of about 60,000 trucks per year in the province, indicating significant potential for replacement and broad prospects for development. Jinzhong is one of the earliest pilot cities in Shanxi and even across the country to explore the use of methanol fuel and methanol-powered vehicles. It boasts unique resource advantages for methanol production, has been actively involved in the methanol economy for 40 years, and has always been at the forefront of this field – serving as a model, a pioneer, and a leader. Not only does it hold several firsts in the field of the methanol economy both domestically and internationally, enjoying advantages such as a wide range of products, broad application areas, and a favorable policy environment, but it also enjoys the reputation of \"the world looks to China, China looks to Shanxi, and Shanxi looks to Jinzhong.\" It remains at the leading edge of research and development in methanol engines, methanol-powered vehicles, methanol fuel, and methanol-based new energy technologies. In recent years, Jinzhong City has worked with Geely Group to establish production bases for the promotion and use of methanol-powered vehicles, building flexible production lines that rely primarily on methanol, with alcohol + electricity and alcohol + oil as supplementary options ； A new energy vehicle industry chain has been established, with Geely’s Jinzhong facility serving as the key enterprise that drives 60 associated enterprises within the province. The output value of this industry chain has doubled over the past three years, reaching 23.3 billion yuan in 2022; its production volume accounts for 95% of the total in the province. It boasts the longest industrial chain, the most comprehensive set of qualifications, and the highest production volume among all new energy vehicle industries in the province. To date, over 2,000 methanol-powered trucks have been produced under this framework ； By holding the Methanol Economy Forum for two consecutive years, it has drawn attention from various parties to the promotion of methanol-powered vehicles in our province and created a favorable public opinion environment. In terms of alcohol production resources, Jinzhong City boasts abundant materials for methanol synthesis; key projects such as the Jiexiu Changsheng project for producing methanol from 250,000 tons of coke oven gas, and the Qixian project for producing green methanol from 100,000 tons of biomass are progressing steadily. In terms of the refueling infrastructure, 35 methanol refueling stations have already been built in Jinzhong; 35 more methanol refueling stations are planned to be upgraded, and 12 new ones are planned to be constructed. It is expected that there will be a total of 82 methanol refueling stations across the city by the end of the year. In terms of the promotion of methanol fuel, Jinzhong currently has over 300 methanol-powered taxis and ride-hailing vehicles, more than 2,300 commercial kitchens that use methanol, and 28,000 households that utilize methanol for heating; the annual consumption of methanol fuel in this area exceeds 120,000 tons. Nearly 2,000 methanol-powered vehicles produced in Jinzhong are in use in regions such as Xinjiang and Gansu, gradually giving rise to a new trend where these vehicles are manufactured in Jinzhong, used in Shanxi, and promoted across the country. Shanxi Province has put forward a major strategic plan to focus on the development of new energy vehicle clusters and the expansion of application scenarios, with the aim of turning Jinzhong into a **-level methanol economy demonstration zone. In May 2023, ten departments including the Shanxi Provincial Department of Industry and Information Technology jointly issued the \"Several Measures to Accelerate the Promotion and Application of Methanol Vehicles across the Province,\" providing important support for the development of the methanol vehicle industry. On August 28 of the same year, a ceremony was held to mark the involvement of provincial state-owned enterprises in Jinzhong to support the development of a **-level methanol economy demonstration zone; thereafter, methanol-powered vehicles across the province began to move from small-scale trials toward large-scale practical use. Jinzhong City is building a new methanol economy ecosystem that encompasses the entire chain of production, processing, transportation, storage, and utilization, in order to create a high-level industrial sector for the methanol economy worth hundreds of billions. Centering on the “11155” development goals for the methanol economy, efforts are being made to expand demonstration applications, with a focus on establishing “one area, two parks, and three systems.” The advantages of Geely’s Jinzhong facility as the leader in the automotive industry chain are fully utilized to strengthen the foundation of this industry chain. By leveraging heavy trucks, government vehicles, special-purpose vehicles, and public transportation, as well as adopting a combination of prefabricated, modified, and newly built methanol refueling stations, a “green corridor” for the transport of coal and coke using methanol in inter-provincial heavy truck operations is being created. The goal is to strengthen leading enterprises, extend the industry chain, and build industrial clusters; using coal as the base and methanol as the medium, the aim is to reach a value of 10 billion yuan from scratch, and then move on to 100 billion yuan. Today, the new energy vehicle industry in Jinzhong City is making rapid progress, accelerating its advance on the path to building a new methanol economy worth hundreds of billions.