# Methanol

The simplest alcohol, made from gas or coal: a 110 Mt building block for resins, plastics, acetic acid and fuels, and a candidate shipping fuel.

Source page: https://www.materialinsights.org/chemicals/methanol/

Commodity chemicals · Methanol & oxygenates · No. 31

- Single chemical
- Feedstock: Oil, gas or coal
- about 112 Mt produced (2024, including coal-to-olefins); 90.5 Mt of merchant derivative demand excluding integrated coal-to-olefins (2024)
- 2.6 t CO₂e per t
- HS 290511
 Commodity chemicals · Methanol & oxygenates · Foundation · Matter

Half the world's methanol is made from Chinese coal, and some of it ends up as plastic olefins or ship fuel.

Chart: Illustration: Methanol

##### Where it comes from

Chart: Map of where it comes from

Natural gas or coal is turned into synthesis gas, then passed over a copper catalyst. A gas plant consumes about 29-32 GJ of gas per tonne, so cheap gas wins.

##### Three things to know

1. China uses about 60% of the world's methanol, 54.1 Mt of 90.5 Mt merchant demand in 2024, much of it to make plastics.
2. India imports about 98% of its methanol, 3.57 Mt in FY2026, mostly from Gulf producers.
3. Methanol made from coal emits roughly three to four times the CO2 of gas-based methanol.

##### The journey

1. 1 **Gas or coal**Stranded Gulf gas or Inner Mongolian coal
2. 2 **Syngas**Reforming or gasification makes CO and hydrogen
3. 3 **Synthesis**Copper catalyst at 50-100 bar
4. 4 **Grade AA**Distilled to at least 99.85% pure
5. 5 **Tankers**A third of seaborne trade passes Hormuz
6. 6 **Derivatives**Formaldehyde, olefins, MTBE, acetic acid, fuels
 Covered in [The chemical industry: what it makes and how it is organisedChemicals](https://www.materialinsights.org/learn/chemicals/chem-industry-map/)[How a chemical process works: reactions, separations, catalysts and flowsheetsChemicals](https://www.materialinsights.org/learn/chemicals/how-chemical-processes-work/)[The economics of a chemical plant: costs, prices and profitChemicals](https://www.materialinsights.org/learn/chemicals/plant-economics-costs-and-profit/)[Heavy inorganics: salt, sulphur, nitrogen and phosphorusChemicals](https://www.materialinsights.org/learn/chemicals/heavy-inorganic-chemicals/)[From crude oil and natural gas to the C1-C4 building blocksChemicals](https://www.materialinsights.org/learn/chemicals/oil-gas-to-building-blocks/)[Scale, capacity and feedstock: which chemical plants get builtChemicals](https://www.materialinsights.org/learn/chemicals/scale-capacity-feedstock/)and 9 more

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## Other sections

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