Methanol market outlook: The domestic methanol market is in a positive mood
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As of April 3, the prices of methanol in various regions are as follows: yuan per ton. East China: 2050–2080; South China: 2080–2130; North China: 1500–1950; Northeast China: 1850–2100. The current atmosphere in China’s methanol market is favorable, but the supply of this product is very limited, resulting in slight shortages. The sales of formaldehyde to downstream industries have improved somewhat. There is a cautious attitude in the market, and demand from end-users is weak, leading to average sales performance and low transaction volumes. East China: The atmosphere in the methanol market is positive, with mainstream prices rising to 2,050–2,080 yuan per ton. The flow of supply in the market is somewhat slow; traders are reluctant to sell their goods, and there is a strong sense of caution among them. Transactions mainly take place on a small scale, and overall sales performance is average. South China: The methanol market is on the rise, with mainstream prices rising to 2080–2130 yuan per ton. Supply is tight, buyers are not very eager to purchase, and traders are reluctant to sell their stock. There is a strong atmosphere of caution in the market, resulting in few transactions, with most deals being small-scale. North China region: The atmosphere in the methanol market remains stable, with mainstream prices staying between 1,500 and 1,950 yuan per ton. Some manufacturers have low production levels, resulting in a slight shortage of supply in the market; transaction activity is moderate. Northeast region: The methanol market remains stable, with mainstream prices staying at 1,850–2,100 yuan per ton, and shipments are steady. Factors affecting the market and its trend: 1. Continuous tight supply of goods; 2. Weak demand from end-users ； 3. Downstream buyers show low enthusiasm for receiving the goods ； 4. A strong atmosphere of caution prevails in the market ； It is expected that the domestic methanol market will remain stable with slight upward trends in the near term.
With the methanol market recovering, we are even more confident in pursuing our methanol project.
The methanol market is showing signs of recovery, but compared to coal prices, methanol still does not generate profits.
At present, methanol manufacturers still lack profit margins; it is too early to talk about a recovery in the methanol market………………
The key is **whether the determination can be made to enforce the use of methanol as a substitute for gasoline**. Otherwise, given the current domestic methanol production capacity, supply still exceeds demand
At present, methanol plants in China that use natural gas as raw material are still not profitable.
It still seems to be in demand but without a market. There is still a long way to go before a real recovery! It’s still quite encouraging though.