# Ethylene oxide: Production

Why plants live inside giant cracker complexes

Source page: https://www.materialinsights.org/chemicals/ethylene_oxide/production/

What this tab covers Who makes it and how much: world capacity and output, utilisation, the top producing countries and companies globally and in India, concentration, new capacity coming, and each region's position.

| Measure | Figure | Detail | Source |
|---|---|---|---|
| **World capacity** | about 40 Mt/yr globally (indicative) |  | indicative (basis: Argus 2025 regional tables plus China estimates) |
| **World output** | about 34 Mt (2025, indicative) |  | derived |
| **Capacity utilisation** | China average EO operating rate 69% in early October 2025 | North America had about 0.9 Mt of capacity lost or idle (8.56 Mt nameplate, 7.67 Mt effective) in 2025. | Argus EO and Derivatives, 1 Oct 2025 |
| **Concentration** | top 3 (China, US, Saudi Arabia) about 65% of capacity (indicative) | SABIC is the largest single producer; Dow, Shell, Sinopec, Formosa, Lotte, Nan Ya and Reliance are major (indicative). | Argus 2025; indicative |
| **New capacity** | mainly China; e.g. PetroChina Jilin 300 kt/yr EO (2025), Yulong Petrochemical 1 Mt/yr MEG (Oct 2025) | Most new EO is built inside integrated EO/EG units in China. North America and Europe are shrinking: Clariant is closing one Gendorf unit by end-2025. | Argus EO and Derivatives, Oct 2025 |

#### Top producing countries
 China 35% · about 14 Mt/yr (indicative) United States 17% · 6.93 Mt/yr nameplate (6.13 Mt effective) Saudi Arabia 14% · 5.71 Mt/yr nameplate (5.61 Mt effective) Europe 9% · 3.43 Mt/yr nameplate (3.12 Mt effective) Canada 3% · 1.23 Mt/yr nameplate Iran 3% · 1.16 Mt/yr effective indicative; Argus estimates, 2025

#### Largest producers: global

| Company | Country | Volume | Year | Source |
|---|---|---|---|---|
| **SABIC** largest EO/EG producer (indicative) | Saudi Arabia | not published | 2025 | [SABIC](https://www.sabic.com) |
| **Dow** MEGlobal and US Gulf assets; Meteor process licensor | US | not published | 2025 | [Dow 10-K](https://corporate.dow.com) |
| **Shell** OMEGA process; US units in maintenance Oct 2025 (Argus) | UK/Netherlands | not published | 2025 | [Shell](https://www.shell.com) |
| **Sinopec** not published | China | not published | 2025 | [Sinopec](http://www.sinopec.com/listco/en/) |
| **PetroChina** start-up by October 2025 | China | 0.3 Mt/yr new EO unit (Jilin) | 2025 | [Argus Oct 2025](http://www.petrochina.com.cn) |
| **Formosa Plastics / Nan Ya** not published | Taiwan/US | not published | 2025 | [company](https://www.fpc.com.tw) |
| **Clariant** one unit closing by end-2025 | Switzerland | 0.3 Mt/yr EO (Gendorf, two units) | 2025 | [Argus Oct 2025](https://www.clariant.com) |

#### Largest producers: India

| Company | Country | Volume | Year | Source |
|---|---|---|---|---|
| **Reliance Industries** largest; mostly converted to MEG (not published) | India | not published | 2025 | [Reliance](https://www.ril.com) |
| **Indian Oil Corporation** Panipat MEG complex (not published) | India | not published | 2025 | [IOCL](https://iocl.com) |
| **India Glycols** bio-ethanol-based EO and glycols at Kashipur; also ethoxylates | India | not published | 2025 | [India Glycols](https://www.indiaglycols.com) |
| **Clariant Chemicals India / others** ethoxylation users rather than EO makers (indicative) | India | not published | 2025 | [company](https://www.clariant.com) |

India's EO is made mainly by Reliance and IOCL for glycols, and by India Glycols from bio-ethanol. McKinsey estimated about 2 Mt/yr of announced Indian additions were mainly in EO and EG. Purified EO is rarely imported because of the hazard; India instead imports ethoxylates and glycols.

#### Position by region

| Region | Position |
|---|---|
| **US** | Cheap ethane-based ethylene; US EO sterilisation faces new EPA emission limits (2024). |
| **EU** | High-cost and shrinking; purified EO contract €1,294/t in Oct 2025 (Argus). |
| **India** | EO built into glycol complexes; ethoxylate makers depend on a few suppliers. |
| **China** | Largest and growing; EO margins slightly negative for non-integrated producers in Oct 2025 (Argus). |
| **Japan** | Mature, small; Nippon Shokubai and Mitsubishi Chemical make EO derivatives. |
| **Middle East** | Saudi Arabia has about 5.7 Mt/yr of capacity, mostly for glycol exports, exposed to Hormuz shipping risk in 2026. |

## Other sections

- [Summary](https://www.materialinsights.org/chemicals/ethylene_oxide/index.md)
- [Overview](https://www.materialinsights.org/chemicals/ethylene_oxide/overview/index.md)
- [Correlation](https://www.materialinsights.org/chemicals/ethylene_oxide/correlation/index.md)
- [Production route](https://www.materialinsights.org/chemicals/ethylene_oxide/routes/index.md)
- [Feedstocks](https://www.materialinsights.org/chemicals/ethylene_oxide/feedstocks/index.md)
- [Cycles](https://www.materialinsights.org/chemicals/ethylene_oxide/cycles/index.md)
- [Trading](https://www.materialinsights.org/chemicals/ethylene_oxide/trading/index.md)
- [Movement](https://www.materialinsights.org/chemicals/ethylene_oxide/movement/index.md)
- [Regulation](https://www.materialinsights.org/chemicals/ethylene_oxide/regulation/index.md)
- [Characteristics](https://www.materialinsights.org/chemicals/ethylene_oxide/characteristics/index.md)
- [Emissions](https://www.materialinsights.org/chemicals/ethylene_oxide/emissions/index.md)
- [Relationships](https://www.materialinsights.org/chemicals/ethylene_oxide/links/index.md)