# Monoethylene glycol: Feedstocks

Gulf ethane sets the floor, Chinese coal the swing

Source page: https://www.materialinsights.org/chemicals/meg/feedstocks/

What this tab covers What it is made from and what it feeds: the raw materials and energy per tonne with their share of cost (linked to the commodity table), who is low-cost and why, and the chemicals made from it.

MEG is made from ethylene (from ethane or naphtha), or from coal via syngas in China, or from bio-ethanol. Feedstock is most of the cost, so Gulf ethane producers set the low end and Chinese coal plants the swing.

#### Inputs per tonne

| Input | Quantity per tonne | Role | Share of cost | Source |
|---|---|---|---|---|
| [Gas Natural gas](https://www.materialinsights.org/energy/natural_gas/) | about 0.6 t ethylene per t MEG (indicative) | main Gulf and US feed | about 70-80% of cash cost (indicative) | indicative |
| [Oil Crude oil](https://www.materialinsights.org/energy/crude_oil/) | about 0.6 t per t MEG (indicative) | Asia, India | about 70-80% (indicative) | indicative |
| [Tc Thermal coal](https://www.materialinsights.org/energy/thermal_coal/) | about 2.5-3 t coal per t MEG (indicative) | China coal-to-MEG | about 40-50% of cash cost (indicative) | indicative |
| [Su Sugar](https://www.materialinsights.org/commodities/sugar/) | about 1.0-1.1 t ethanol per t MEG (indicative) | bio-MEG (India Glycols) | most of cost | indicative |

#### Who is low-cost, and why

Saudi, Kuwaiti and US ethane-based MEG is lowest cost. Naphtha-based Asian MEG and Chinese coal-based MEG are higher; coal units shut first when prices fall below about $500/t (indicative).

#### Raw materials on the commodity table
[Oil Crude oil](https://www.materialinsights.org/energy/crude_oil/)[Gas Natural gas](https://www.materialinsights.org/energy/natural_gas/)[Tc Thermal coal](https://www.materialinsights.org/energy/thermal_coal/)

#### What it is made into

| Product | Note |
|---|---|
| [PET PET resin](https://www.materialinsights.org/chemicals/pet/) | about 28% (indicative) |
| [PSF Polyester fibre](https://www.materialinsights.org/chemicals/polyester_fibre/) | about 52% (indicative) |
| [UPR Unsaturated polyester resins](https://www.materialinsights.org/chemicals/upr/) | small |

## Other sections

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