Summary Post on the Methanol Market Conditions and Prices in May 2016

Methanol prices as of May 3, 2016: http://www.chemcp.com. As of May 3, 2016, according to China Chemical Products Network:

| Company/Region | Product Type | Price | Remarks |
|-----------------|--------------|-------|---------|
| XinAo Group Xinneng | Industrial-grade methanol | 1,760 | Quote available for external sales |
| Anhui Haoyuan | Industrial-grade methanol | 1,970 | Delivery upon acceptance |
| Anhui Linquan | Industrial-grade methanol | 1,980 | Quote based on acceptance |
| Anhui Linhuan Coking | Industrial-grade methanol | 1,980 | Delivery upon acceptance |
| Dalian Dahuahua | Methanol | -2,050 | For local sales only |
| Sichuan Dazhou Iron and Steel | Industrial-grade methanol | 0 | No price available |
| Guizhou Jinchai Chemical | Industrial-grade methanol | 2,100 | Price provided |
| Shanxi Jinfeng | Industrial-grade methanol | 1,850 | High-purity product; delivery upon acceptance |
| Hebei Tangshan Zhongrun | Industrial-grade methanol | 1,970 | Accepted by local suppliers |
| Tangshan Guyu Coal Coking | Industrial-grade methanol | 1,980 | Cash payment required |
| Hebei Tangshan Wanfengxing Chemical | Methanol | -0 | Quote available for external sales |
| Sichuan Chuanwei | Industrial-grade methanol | 2,000 | Price provided |
| Henan Hebi Coal and Electricity | Industrial-grade methanol | 1,950 | Price provided |
| Heilongjiang Qitaihe Jiwei | Industrial-grade methanol | 1,950 | Price provided |
| Heilongjiang Jianlong Iron and Steel | Industrial-grade methanol | 1,950 | Price for factory delivery |
| Jiangsu Yizhou Coal Coking | Industrial-grade methanol | 1,930 | Price provided |
| Hunan Yihua | Industrial-grade methanol | 2,130 | Stable price |
| Jiangsu Hengsheng | Industrial-grade methanol | 1,950 | Price provided |
| Shanxi Coking | Industrial-grade methanol | 1,780 | Price provided |
| Shanxi Anze Yongxin | Industrial-grade methanol | 1,760 | Price provided |
| Hebei Zhengyuan Chemical | Industrial-grade methanol | 1,980 | Quote based on acceptance |
| Shandong Xinneng Phoenix | Industrial-grade methanol | 1,970 | Steady supply |
| Hebei Shijiazhuang Jinshi | Industrial-grade methanol | 1,900 | Price provided |
| Shanxi Yangmei Fengxi | Industrial-grade methanol | 1,900 | Fair supply situation |
| Henan Xinlianxin | Industrial-grade methanol | 1,950 | Price provided |
| Hebei Dingzhou Tianlu New Energy | Industrial-grade methanol | 1,920 | Price provided |
| Shandong Lianmeng | Industrial-grade methanol | 1,930 | Cash payment required |
| Shandong Yankuang Group | Industrial-grade methanol | 1,920 | Normal supply |
| Shandong Linyi Hengchang | Industrial-grade methanol | 1,980 | Normal supply |
| Shandong Linyi Lan Yue Chemical | Industrial-grade methanol | 1,970 | Quote available for external sales |
| Shanxi Jiantao Wansinda | Industrial-grade methanol | 1,850 | Price provided |
| Heilongjiang Yidaxin | Industrial-grade methanol | 2,000 | Price provided |
| Hubei Sanning | Industrial-grade methanol | 2,030 | Some products are for internal use |
| Shandong Mingshui Dahuahua | Industrial-grade methanol | 1,950 | Smooth supply |
| Daqing Oilfield | Industrial-grade methanol | 2,200 | Price for factory delivery |
| Shanxi Datuhe Coking | Industrial-grade methanol | 1,750 | Price provided |
| Heilongjiang Baotailong Coal Methanol | Industrial-grade methanol | 2,450 | Price provided |
| Shandong Tengzhou Shenglong | Industrial-grade methanol | 1,910 | Price for factory delivery |
| Shanxi Jiantao Lubao | Industrial-grade methanol | 1,880 | Price provided |
| Heilongjiang Zhongmei Longhua | Industrial-grade methanol | 2,450 | Price provided |

Keywords: Methanol, Price database. Source: This website. Author: Editor: Jiang Tao

This post was last edited by Zhongyuanren on 2016-5-3 14:08. Boss, I finally saw it.

Product Name, Quotation Unit, Specifications, Quotation Type, Date of Quotation
Methanol, Shanxi Jinfeng: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Ex-factory price: 1,850 yuan/ton. May 3, 2016
Methanol, Linyi Hengchang: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Ex-factory price: 1,960 yuan/ton. May 3, 2016
Methanol, Zhongneng Chemical: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Ex-factory price: 1,980 yuan/ton. May 3, 2016
Methanol, Daqing Petrochemical: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Ex-factory price: 2,200 yuan/ton. May 3, 2016
Methanol, Dongguan Jiufeng: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Distributor price: 1,960 yuan/ton. May 3, 2016
Methanol, Tengzhou Fenghuang: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Ex-factory price: 1,970 yuan/ton. May 3, 2016
Methanol, Wanxinda: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Ex-factory price: 1,850 yuan/ton. May 3, 2016
Methanol, Anhui Haoyuan: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Ex-factory price: 1,970 yuan/ton. May 3, 2016
Methanol, Shandong Alliance: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Ex-factory price: 1,930 yuan/ton. May 3, 2016
Methanol, Shandong Yankuang: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Ex-factory price: 1,910 yuan/ton. May 3, 2016
Methanol, Mingshui Dahua: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Ex-factory price: 1,950 yuan/ton. May 3, 2016
Methanol, China Coal Longhua: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Ex-factory price: 2,450 yuan/ton. May 3, 2016
Methanol, Hebei Zhengyuan: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Ex-factory price: 1,980 yuan/ton. May 3, 2016
Methanol, Hebei Zhengyuan: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Ex-factory price: 1,980 yuan/ton. April 29, 2016
Methanol, China Coal Longhua: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Ex-factory price: 2,450 yuan/ton. April 29, 2016
Methanol, Mingshui Dahua: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Ex-factory price: 1,950 yuan/ton. April 29, 2016
Methanol, Shandong Yankuang: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Ex-factory price: 1,920 yuan/ton. April 29, 2016
Methanol, Shandong Alliance: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Ex-factory price: 1,930 yuan/ton. April 29, 2016
Methanol, Anhui Haoyuan: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Ex-factory price: 1,970 yuan/ton. April 29, 2016
Methanol, Tengzhou Fenghuang: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Ex-factory price: 1,970 yuan/ton. April 29, 2016
Methanol, Wanxinda: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Ex-factory price: 1,850 yuan/ton. April 29, 2016
Methanol, Dongguan Jiufeng: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Distributor price: 1,960 yuan/ton. April 29, 2016
Methanol, Daqing Petrochemical: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Ex-factory price: 2,200 yuan/ton. April 29, 2016
Methanol, Zhongneng Chemical: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Ex-factory price: 1,980 yuan/ton. April 29, 2016
Methanol, Linyi Hengchang: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Ex-factory price: 1,980 yuan/ton. April 29, 2016
Methanol, Inner Mongolia Rongxin: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Ex-factory price: 1,720 yuan/ton. April 29, 2016
Methanol, Inner Mongolia XinAo: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Ex-factory price: 1,760 yuan/ton. April 29, 2016
Methanol, Shanxi Jinfeng: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Ex-factory price: 1,850 yuan/ton. April 29, 2016
Methanol, North China Methanol: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Market price: 1,770 yuan/ton. April 29, 2016
Methanol, Hebei Methanol: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Market price: 1,880 yuan/ton. April 29, 2016
Methanol, East China Methanol: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Market price: 1,950 yuan/ton. April 29, 2016
Methanol, South China Methanol: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Market price: 1,960 yuan/ton. April 29, 2016
Methanol, Shandong Methanol: Type: Industrial methanol. http://china.toocle.com/images/icon1.gif Market price: 1,950 yuan/ton. April 29, 2016

The domestic methanol market is likely to remain stable with only slight fluctuations. http://www.chemcp.com May 3, 2016 China Chemical Products Network The domestic spot market is currently stable. The stable mainstream price in the northwest is 1,720–1,810 yuan per ton ； In the Huaihai region, prices dropped by 20 yuan/ton, reaching 1,920–1,930 yuan/ton ； Futures are volatile, while ports remain stable for now. The price in East China stays between 1,920 and 2,030 yuan per ton, that in South China remains stable at 1,940 to 1,960 yuan per ton, and prices in other regions are also stable for the time being. The northwest focuses on contract execution, with overall stability ； Shipments in the Bohai Sea region are performing well, with the market remaining stable amid consolidation ； Traffic in the Huaihai region is fairly normal, with slight declines in some areas of northern Jiangsu ； Shipments in the Central China region remain manageable, with stability as the norm ； Futures remained weak and volatile; ports were temporarily stable. In East China, ports in Jiangsu and Zhejiang stayed steady, while ports in South China saw only minor fluctuations. Recently, the domestic methanol market has remained largely stable with only slight fluctuations. In the short term, various regions will continue to make minor adjustments based on their own and surrounding areas’ shipment conditions, and this trend is expected to persist for some time. However, with an increase in shipments arriving at ports recently, inventory levels have risen. Some domestic companies have started operations again and are likely to begin shipping goods after the holiday, which could lead to increased market pressure. At present, the domestic macroeconomic situation is fairly stable, so market fluctuations should remain mild. Under the influence of multiple factors, the domestic methanol market is likely to show narrow fluctuations after the holiday, with trends that are localized or regional in nature.

Analysis of methanol price trends on May 3, 2016: http://www.chemcp.com. As of May 3, 2016, according to China Chemical Products Network, the average ex-factory price in central and eastern Shandong is 1890–1930 yuan per ton. Traders in Zibo and its surrounding areas offer prices ranging from 1960–1970 yuan per ton, while actual transaction prices are usually around 1950–1960 yuan per ton. For products of higher quality, the transaction price is approximately 1970 yuan per ton. Most dynamic enterprises adopt a wait-and-see approach. The retail price for enterprises in southern Shandong is between 1,910 and 1,920 yuan per ton, while traders offer a price of around 1,900 yuan per ton for deliveries to Linyi without invoices. The shipment volume of dynamic enterprises remains relatively stable. New methanol prices for major enterprises in the northwest, such as those in Shaanxi and Inner Mongolia, are expected to be announced today afternoon or tomorrow. Currently, most methanol producers have low inventory levels, and some of the methanol production facilities are shut down for maintenance. Coupled with the continued import of olefins in the region, the methanol market in the northwest is likely to see further tentative price increases this week. Local methanol producers in Henan region are quoting 1,950 yuan per ton, while the prevailing selling price is around 1,800–1,850 yuan per ton; the methanol market remains stable. The prevailing quotes from Luoyang traders are around 1,850–1,920 yuan per ton, with trading activity remaining moderate. In the southern and southeastern parts of Shanxi Province, mainstream manufacturers are quoting prices of 1,760–1,830 yuan per ton; the acceptance-based quote stands at 1,850 yuan per ton. In Linfen, spot transactions are being conducted at around 1,760–1,780 yuan per ton, while in Changzhi, prices range from 1,810 to 1,830 yuan per ton. Market activity remains robust. The ex-factory prices of methanol produced from coal and coke oven gas in Heilongjiang range from 1,950 to 2,450 yuan per ton; the prevailing selling price is around 1,900 yuan per ton, with sales mainly directed at local markets and Jilin ； Quotations offered by major traders in Liaoning range from 2,100 to 2,150 yuan per ton. The ex-factory prices for methanol in Hebei region range from 1,880 to 2,000 yuan per ton. In the dynamic market, prices have seen a local uptrend. Enterprises in Shijiazhuang and its surrounding areas are selling at around 1,860–1,870 yuan per ton; trading quotes stand at 1,850–1,880 yuan per ton. In the Wen’an area, quotes without invoices are approximately 1,870–1,900 yuan per ton. In Tangshan, the prevailing selling price has increased by 30 yuan per ton, now standing at 1,970–2,000 yuan per ton. In Hubei, the prevailing negotiation price is between 2,030 and 2,130 yuan per ton; for lower-end products, it’s the factory prices of major manufacturers, while for higher-end products, it’s the quotes from traders in Wuhan. In Hunan, the prevailing negotiation price ranges from 2,130 to 2,180 yuan per ton – again, lower-end products have factory prices from major manufacturers, while higher-end products are priced by traders in Changsha. The methanol market in these two regions remains stable. In the southwest, major companies offer local factory prices ranging from 1,850 to 2,000 yuan per ton; the actual selling prices are between 1,800 and 1,910 yuan per ton, with manufacturers mainly adhering to their contracts. In Sichuan and Chongqing, merchants purchase products at prices around 1,950 to 1,970 yuan per ton including taxes, but actual transactions are limited. The methanol market in the southwest remains stable as well. In Anhui, the accepted price range is 1,970 to 1,980 yuan per ton. The methanol market remains stable overall, with major companies operating normally; however, actual sales volumes are slightly low, and contracts are primarily followed.

A mix of bullish and bearish factors leads to wide fluctuations in methanol prices. http://www.chemcp.com May 4, 2016 China Chemical Products Network Part 1: Market Review In April 2016, the price of methanol futures first declined before rising again; the main 1609 contract dropped to as low as 1,855 yuan per ton, but then stabilized and rebounded rapidly, reaching a high of 2,098 yuan per ton. The month ended on a positive note, with a price increase of 6.60%. In terms of spot markets, in April 2016, China’s methanol spot market continued to follow regional trends, giving rise to a unique landscape characterized by a tripartite balance among ports, the northwest region, and the interior areas. Among them, driven by favorable factors such as steady demand for olefins, the commissioning of newly built olefin projects, and periodic maintenance of certain facilities, the relatively strong trend observed in the Northwest region continued to persist. In the interior regions of Shandong, North China, and Central China, adjustments were made based on the local economic conditions. Although there were declines at certain times, the overall drop was relatively limited, thanks to rising prices in the Northwest and a decrease in exports ； The operations of major ports largely follow the direction indicated by futures markets. 　　Part II: Fundamental Analysis
1. Favorable economic data from China in the first quarter have contributed to a strong performance of commodities
The economic data for March and the first quarter of China, released earlier, indicate that the effects of stimulus measures continue to manifest. Looking at the details, China’s manufacturing PMI in March was 50.2%, up 1.2 percentage points from February. In addition, the March non-manufacturing business activity index, released on the same day, was 53.8%, up 1.1 percentage points from February, indicating an acceleration in the expansion of the non-manufacturing sector. In March 2016, China’s Manufacturing and Services PMI figures were 49.7% and 52.2% respectively, up by 1.7 percentage points and 1 percentage point from February. Data released on April 11 showed that China’s CPI was lower than expected in March, while the decline in PPI narrowed. In March, CPI rose by 2.3% on a year-on-year basis, below the expected 2.4%, with the previous figure also being 2.3% ； In March, CPI dropped by 0.4% on a month-on-month basis, well below the previous value of +1.6%. In March, PPI dropped by 4.3% on a year-on-year basis, which was better than the expected decline of 4.6% and the previous decline of 4.9% ； In March, PPI rose by 0.5% on a month-on-month basis, marking the first increase since January 2014; the previous figure had been a month-on-month decline of 0.3%. In terms of imports and exports, China’s exports in March showed a year-on-year increase of 18.7% on a RMB basis, marking the first growth in 9 months ； Expected 14.9%, previous value -20.6%. China’s imports in March on a year-on-year basis (in RMB terms) were -1.7%, compared to an expected figure of -4.8% and a previous value of -8%; the import and export figures turned out to be significantly better than expected. In terms of electricity consumption, in the first quarter of 2016, the total electricity consumption across the country was approximately 1.3524 trillion kWh, representing a year-on-year increase of 3.2%, with the growth rate rising by 2.4 percentage points compared to the previous year. In March, the total electricity consumption across the country was approximately 476.2 billion kWh, representing a year-on-year increase of 5.6%, with the growth rate rising by 7.8 percentage points compared to the previous year. In terms of automobiles, data released by the China Association of Automobile Manufacturers show that in March 2016, 2.5206 million vehicles were produced, representing a month-on-month increase of 56.38% and a year-on-year increase of 10.26% ； Sales reached 2.4397 million units, a month-on-month increase of 54.31% and a year-on-year rise of 8.76%. From January to March, 6.5905 million vehicles were produced and 6.5267 million vehicles were sold, representing year-on-year increases of 6.18% and 5.98%, respectively; these growth rates were 0.92 percentage points and 2.08 percentage points higher than those in the same period of the previous year. Multiple data points exceeding expectations indicate that **the previously introduced easing policies have proven effective, boosting commodity prices. 　　Figure 1: Trend charts of key economic indicators in China (unit: %). Hualian Futures: A mix of bullish and bearish factors. Data source: Wind Information Financial Terminal. 2. The European Central Bank leaves interest rates unchanged, continuing with its accommodative policy. Recent data show that the CPI in the eurozone increased by 1.2% on a month-on-month basis in March, in line with expectations. Thanks to a 1.4% rise in prices in service sectors such as hospitality and leasing, the Eurozone’s CPI in March remained unchanged year-on-year, performing better than expected and reaching its highest level since April 2014. The month-on-month increase in CPI also met expectations, indicating that the Eurozone’s period of deflation lasted just one month. This provided some relief to the European Central Bank, which aims for a 2% inflation rate, as it shows that its policy measures are beginning to bear fruit. However, given the considerable uncertainties surrounding the economic outlook, it remains necessary to continue implementing accommodative policies. 　　Following the reduction of the three key interest rates, recent statements by the European Central Bank have hinted at further easing measures. Specifically, the minutes of the ECB’s March meeting, released on April 7, show that its policymakers considered a larger interest rate cut in March, and there are indications that interest rates have effectively reached their lower bound. The meeting minutes also state that “most members believe a 10-basis-point cut is appropriate at present, but further cuts cannot be ruled out if it is for the sake of price stability prospects.” ”Furthermore, the committee also discussed introducing exemptions from negative deposit interest rates in March. However, they believe that the negative interest rate exemption program is too complex, and there is no basis for introducing it at present. The minutes show that although ECB Governing Council members generally agreed on the need for further policy actions, they held differing views regarding specific measures. The idea of expanding bank lending received “very broad approval,” whereas extending asset purchases to corporate bonds received only “general approval.” Countries outside the United States, such as China and Europe, **maintain a loose monetary policy, which boosts the prices of commodities including methanol. 　　3. Analysis of the methanol industry chain in May 　Methanol: In May, various positive and negative factors continued to influence the domestic methanol market. However, based on the performance of futures at the end of April, concerns such as the influx of imported goods into ports around May Day and rising inventory levels led to a slowdown in price increases, although prices still showed an upward trend in ports and other areas. A further decline is possible in the short term; yet, thanks to favorable factors such as maintenance periods at some international production facilities and high costs for overseas transactions, the market is expected to remain promising in the middle and late part of the month. The northwest region of the mainland will maintain its strong performance; attention should be paid to the impact of the rainy season in May and June on the formaldehyde market. At present, the external market is stable; however, various factors such as fluctuations in related products, the arrival of imported goods, maintenance work on olefin and methanol production facilities, and whether certain traditional downstream industries will experience a off-season period are all interrelated. It is necessary to pay attention to the balance of forces between bulls and bears in this context. 　　Formaldehyde: The operational rate of the formaldehyde industry in China is around 40%. As May arrives, rainy weather may have an impact on some areas. Although some downstream demand remains decent, rising raw material costs are resulting in poor profits for enterprises in certain areas. According to incomplete statistical data, in April, the profitability of China’s formaldehyde industry remained below 10 yuan per ton; by the end of the month, some regions had already started incurring losses. Weather conditions around the middle of the year may affect wood panels, which could put pressure on demand for formaldehyde; thus, a bearish outlook is warranted in the short term. 　　Dimethyl ether: Prices are expected to rise in May, and market participants generally believe this could provide some support for the southern markets. However, given the ample availability of imported supplies and the fact that downstream inventories still need to be depleted, it is unlikely that the liquefied gas market will perform well in May. The dimethyl ether market, on the other hand, is expected to see upward trends thanks to high prices of raw materials and the restraining effect of downstream liquefied gas demand. Yet, as the price gap between gas and dimethyl ether narrows, end-users remain relatively reluctant to enter the market. Furthermore, as the price gap between various types of ether continues to narrow, end-users are expected to reduce their purchases of dimethyl ether. Dimethyl ether manufacturers, forced to raise prices due to cost pressures, must also contend with low prices in the liquefied gas market. It is likely that some companies will decide to suspend production or reduce output due to profit concerns, but there is no indication of a decline in the price of dimethyl ether at present. 　　Acetic acid: There are many reports of maintenance activities at acetic acid production facilities in China during May and June, but the short-term impact is not significant. The supply levels of short-term manufacturers have improved, with most manufacturers experiencing varying degrees of inventory growth. The Yingdu facility has been restarted, further boosting supply expectations ； Manufacturers of ethanol production facilities using Shunda acetic acid are not optimistic, so there will be limited support for the central China market in May ； Weak demand in the acetate sector provides no support for glacial acetic acid. There is a deficit in chloroacetic acid, and the overall load remains low. Jinyin Island believes that the domestic glacial acetic acid market will show a downward trend in May. 　　Part Three: Outlook for the Future 　In summary, the external environment is currently stable; however, various factors such as fluctuations in related products, imports, maintenance of olefin and methanol production facilities, and whether certain traditional downstream industries will experience a off-season period all come into play. It is therefore necessary to pay attention to the balance of forces between bulls and bears. On the market, the methanol 1609 contract continued to trade within a range. In terms of trading, for now focus on whether the price can stay above 2,070 yuan per ton; until that happens, treat it as a situation of range fluctuations, and adopt trading strategies suitable for such ranges.

Internet+: Paving the way for a new era in methanol chemistry http://www.chemcp.com May 4, 2016 China Chemical Products Network. Since the start of the 13th Five-Year Plan period, driven by the push for new energy sources, new energies and technologies continue to emerge. Discovering new energy sources is the foundation of development, as well as the basis for the improvement of people’s livelihoods; energy consumption at the expense of the environment will eventually be replaced. And to replace traditional energy sources, there is only new energy. Currently, a new era in methanol chemistry has begun, utilizing new energy sources and coal as raw materials. As is well known, oil is a non-renewable resource with limited reserves. It is currently mainly used for producing vehicle fuels such as gasoline ； At the same time, naphtha, which is available in petroleum distillates as a raw material for the chemical industry, overlaps in terms of distillation components with gasoline components; in other words, using naphtha as a raw material for petrochemicals conflicts with its use as a fuel for vehicles. In response to this, Wang Xianqing, a renowned domestic petrochemical expert and member of the Expert Committee at CNPC’s Consulting Center, said: “This contradiction becomes particularly evident amid high crude oil prices and a rising demand for vehicle fuel year by year, resulting in a severe shortage of petroleum-based petrochemical raw materials. This has even led to a critical situation in which China’s related petrochemical industries are struggling to continue operating.” ” Coal-to-oil technology is one of the breakthroughs in the Dalian Institute of Chemical Physics’ “135” plan. Led by the dimethyl ether to olefins (DMTO) technology, it focuses on transforming existing technologies, developing new ones, and looking ahead to future advancements; it breaks through a number of key new technologies for replacing oil with coal, carries out industrial-scale tests for producing propylene, ethanol, higher-carbon alcohols, and natural gas, and pushes these technologies toward industrial application. The goal is to establish an emerging strategic industry based on the use of dimethyl ether to produce olefins as its core. Currently, it is accelerating the development of third-generation DMTO technology in order to sustain innovation and reinforce China’s leading position in coal-based olefin technology. ”While using new technologies to support the development of the coal chemical industry, the traditional petrochemical industry is also transformed simultaneously, thereby promoting coordinated development of China’s petrochemical and coal chemical industries. Industry expert Ding Guoxiang said that the successful industrial application of DMTO has ushered in a new era for \"methanol chemistry,\" representing an innovative revolution for the traditional petrochemical industry that relies on petroleum as its main raw material. Since DMTO shifts the main raw materials for petrochemicals from petroleum to natural gas and coal, it **expands the sources of raw materials for the petrochemical industry.** The reserves of natural gas in the world—especially unconventional natural gases such as coalbed methane, shale gas, and natural gas hydrates—as well as those of coal, **exceed the reserves of oil.** These abundant fossil fuel resources, after being converted into synthetic methanol, can be used through processes such as MTO/MTP and MTA to obtain the basic raw materials for the petrochemical industry, namely trienes/triphenyls. “By utilizing existing or further innovated technologies, a wide variety of petrochemical derivatives can be produced. This enables the petrochemical industry to advance for at least another century, building upon its current foundation of using petroleum as a raw material. ”

Analysis and forecast of domestic methanol price trends on May 4th: http://www.chemcp.com, May 4, 2016. China Chemical Products Network. The domestic spot market remained largely stable with only slight fluctuations in some areas. In the northwest region, most prices remain unchanged; in the Guanzhong area, there has been a slight increase of 10-30 yuan per ton. Currently, the prevailing price range in the northwest is 1,720-1,820 yuan per ton ； In the Bohai Rim region, prices in Shanxi rose by 20 yuan/ton, reaching 1760–1830 yuan/ton ； In the Huaihai region, prices dropped by 20 yuan/ton, ranging from 1900 to 1930 yuan/ton ； Futures prices declined, while port prices fluctuated slightly; prices in East China dropped by 10 yuan/ton to range between 1910–2030 yuan/ton, those in South China rose by 10 yuan/ton to range between 1950–1970 yuan/ton, with prices remaining stable in the other regions for now. During the May Day holiday, inventory levels in Jiangsu’s port areas increased by about 40,000 tons, reaching around 390,000 tons. The increasing inventory pressure has led operators in these port areas to have a pessimistic outlook for the future market. Around May Day in the northwest, 2 additional processing units were added, bringing the total capacity to 1.2 million tons per year; as a result, supply remains tight. The domestic market is showing increasing divergence, and it is inevitable that there will be varying price trends in different regions. Few new prices were released in the northwest today, with slight increases in some areas ； Shipments in the Bohai Sea region were strong, with slight increases in some areas of Shanxi and Hebei ； Traffic in the Huaihai region was average, with slight declines in parts of southern Shandong and northern Jiangsu ； Shipments in the Central China region remain manageable, with stability as the norm ； Futures declined weakly, while ports showed narrow fluctuations: ports in East China saw a slight decline in Jiangsu, stability in Zhejiang, and a slight rise in ports in South China. Under the influence of multiple factors, the domestic methanol market is likely to show narrow fluctuations after the holiday, with trends that are localized or regional in nature.

Methanol prices as of May 4, 2016: http://www.chemcp.com. China Chemical Products Network – Company/Region Name, Type, Price, Remarks: Hubei Sanning Industrial-grade methanol, price 2030; some products are for internal use. Shanxi Jinfeng Industrial-grade methanol, price 1850; quoted on credit basis at the factory. Hunan Yihua Industrial-grade methanol, price 2130; price stable. Shandong Yankuang Group Industrial-grade methanol, price 1920; normal shipments. Shandong Linyi Hengchang Industrial-grade methanol, price 1960; normal shipments. Shandong Tengzhou Shenglong Industrial-grade methanol, price 1920; quoted at the factory. Henan Hebi Coal and Electricity Industrial-grade methanol, price 1950. Shanxi Jiantao Lubao Industrial-grade methanol, price 1880. Dalian Dahuahua Methanol, price -2050; available only for local sales. Guizhou Jinchi Chemical Industry Industrial-grade methanol, price 2100. Hebei Shijiazhuang Jinshi Industrial-grade methanol, price 1900. Anhui Linquan Industrial-grade methanol, price 1980; quoted on credit basis. Shanxi Coking Industrial-grade methanol, price 1800. Jiangsu Hengsheng Industrial-grade methanol, price 1900. Heilongjiang Yidaxin Industrial-grade methanol, price 2000. Sichuan Dazhou Iron and Steel Industrial-grade methanol, price 0. Heilongjiang Jianlong Iron and Steel Industrial-grade methanol, price 1950; quoted at the factory. Chongqing Wansheng Methanol, price -1880; not available for export at present. Inner Mongolia Shilin Chemical Industry Industrial-grade methanol, latest price 0. Jiangsu Yizhou Coal and Coking Industrial-grade methanol, price 1900. Sichuan Chuanwei Industrial-grade methanol, price 2000. Shanxi Anze Yongxin Industrial-grade methanol, price 1800. Shandong Xinneng Phoenix Industrial-grade methanol, price 1970; normal shipments. Hebei Dingzhou Tianlu New Energy Industrial-grade methanol, price 1920. Shanxi Yangmei Fengxi Industrial-grade methanol, price 1950; satisfactory shipments. Hebei Zhengyuan Chemical Industry Industrial-grade methanol, price 1980; quoted on credit basis. Henan Xinlianxin Industrial-grade methanol, price 1950. Shanxi Jiantao Wanxinda Industrial-grade methanol, price 1850. Hebei Tangshan Zhongrun Industrial-grade methanol, price 2000; widely accepted in the surrounding area. Tangshan Guyu Coal and Coking Industrial-grade methanol, price 1980; quoted in cash. Heilongjiang Qitaihe Jiwei Industrial-grade methanol, price 1950. Heilongjiang Baotailong Coal Methanol, price 2450. Shandong Mingshui Dahuahua Industrial-grade methanol, price 1950; smooth shipments. Daqing Oilfield Industrial-grade methanol, price 2200; quoted at the factory. Heilongjiang China National Coal Group Longhua Industrial-grade methanol, price 2450. Shandong Lianmeng Industrial-grade methanol, price 1930; quoted in cash. Keywords: Methanol, Price Database

Product Name, Unit of Quotation, Specifications, Type of Quotation, Date of Quotation Release: Methanol, Linyi Hengchang. Type: Industrial methanol. http://china.toocle.com/images/icon1.gif. Factory price: 1960 yuan per ton. Date: 2016-05-04. Methanol, Zhongneng Chemical Industry. Type: Industrial methanol. http://china.toocle.com/images/icon1.gif. Factory price: 1980 yuan per ton. Date: 2016-05-04. Methanol, Daqing Oil Chemical. Type: Industrial methanol. http://china.toocle.com/images/icon1.gif. Factory price: 2200 yuan per ton. Date: 2016-05-04. Methanol, Dongguan Jiu Feng. Type: Industrial methanol. http://china.toocle.com/images/icon1.gif. Retail price: 1950 yuan per ton. Date: 2016-05-04. Methanol, Tengzhou Phoenix. Type: Industrial methanol. http://china.toocle.com/images/icon1.gif. Factory price: 1960 yuan per ton. Date: 2016-05-04. Methanol, Wanxinda. Type: Industrial methanol. http://china.toocle.com/images/icon1.gif. Factory price: 1850 yuan per ton. Date: 2016-05-04. Methanol, Anhui Haoyuan. Type: Industrial methanol. http://china.toocle.com/images/icon1.gif. Factory price: 1970 yuan per ton. Date: 2016-05-04. Methanol, Shandong Alliance. Type: Industrial methanol. http://china.toocle.com/images/icon1.gif. Factory price: 1930 yuan per ton. Date: 2016-05-04. Methanol, Shandong Yankuang. Type: Industrial methanol. http://china.toocle.com/images/icon1.gif. Factory price: 1910 yuan per ton. Date: 2016-05-04. Methanol, Mingshui Daha. Type: Industrial methanol. http://china.toocle.com/images/icon1.gif. Factory price: 1950 yuan per ton. Date: 2016-05-04. Methanol, China Coal Longhua. Type: Industrial methanol. http://china.toocle.com/images/icon1.gif. Factory price: 2450 yuan per ton. Date: 2016-05-04. Methanol, Hebei Zhengyuan. Type: Industrial methanol. http://china.toocle.com/images/icon1.gif. Factory price: 1980 yuan per ton. Date: 2016-05-04. Methanol, Shanxi Jinfeng. Type: Industrial methanol. http://china.toocle.com/images/icon1.gif. Factory price: 1850 yuan per ton. Date: 2016-05-04. Methanol, South China Methanol. Type: Industrial methanol. http://china.toocle.com/images/icon1.gif. Market price: 1950 yuan per ton. Date: 2016-05-04. Methanol, Hebei Methanol. Type: Industrial methanol. http://china.toocle.com/images/icon1.gif. Market price: 1880 yuan per ton. Date: 2016-05-04. Methanol, East China Methanol. Type: Industrial methanol. http://china.toocle.com/images/icon1.gif. Market price: 1950 yuan per ton. Date: 2016-05-04. Methanol, North China Methanol. Type: Industrial methanol. http://china.toocle.com/images/icon1.gif. Market price: 1770 yuan per ton. Date: 2016-05-04. Methanol, Shandong Methanol. Type: Industrial methanol. http://china.toocle.com/images/icon1.gif. Market price: 1940 yuan per ton. Date: 2016-05-04. Methanol, Shandong Methanol. Type: Industrial methanol. http://china.toocle.com/images/icon1.gif. Market price: 1940 yuan per ton. Date: 2016-05-03. Methanol, North China Methanol. Type: Industrial methanol. http://china.toocle.com/images/icon1.gif. Market price: 1770 yuan per ton. Date: 2016-05-03. Methanol, Hebei Methanol. Type: Industrial methanol. http://china.toocle.com/images/icon1.gif. Market price: 1880 yuan per ton. Date: 2016-05-03. Methanol, East China Methanol. Type: Industrial methanol. http://china.toocle.com/images/icon1.gif. Market price: 1950 yuan per ton. Date: 2016-05-03. Methanol, South China Methanol. Type: Industrial methanol. http://china.toocle.com/images/icon1.gif. Market price: 1960 yuan per ton. Date: 2016-05-03. Methanol, Shanxi Jinfeng. Type: Industrial methanol. http://china.toocle.com/images/icon1.gif. Factory price: 1850 yuan per ton. Date: 2016-05-03