# Methanol: Production

How Chinese coal came to dominate world capacity

Source page: https://www.materialinsights.org/chemicals/methanol/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** | nearly 148 Mt a year excluding integrated CTO/CTP (2024); China 51%, Middle East 27 Mt, Latin America 8% |  | Argus Methanol Analytics sample (Jun 2025) |
| **World output** | 111.8 Mt (2024, including CTO) |  | Energy Aspects, MMSA data |
| **Capacity utilisation** | about 70% industry average | China 60-70%, rest of world about 85% (Argus). Non-integrated Chinese MTO units idle when margins are negative; Methanex's 860 kt Titan unit in Trinidad was set to idle from end-Q3 2026. | Argus (2025); Energy Aspects Q3 2026 |
| **Concentration** | China 51% of capacity; top-10 producers under 30% of world capacity | Country concentration is high, firm concentration low because China has many coal-chemical producers. | Argus (2025); S&P Global CEH Methanol (Feb 2026) |
| **New capacity** | about 15 Mt outside China in 2025-2029, plus 3.2 Mt of additions in 2026 | New plants in Iran, the US and Malaysia (Argus). Low-carbon pipeline of about 42.5 Mt by 2030 across 250+ projects, with 18.9 Mt in Argus's base case; Kassø e-methanol (42 kt, 2025); Sungas Renewables bio-methanol in Louisiana (FID, target 2028); EM-Numancia in Spain (EUR 320 million, priority status Oct 2026). | Argus (2025); CRU BCInsight (Oct 2026) |

#### Top producing countries
 China 51% · about 75 Mt capacity (51% of 148 Mt) Middle East (Iran, Saudi Arabia, Oman, Qatar, Bahrain) 18% · 27 Mt capacity United States 8% · about 12.2 Mt capacity (Argus plant list, excluding Canada and Mexico) Latin America (Trinidad, Venezuela, Chile) 8% · about 12 Mt capacity

- **Russia**: not verified
- **Southeast Asia (Malaysia, Indonesia, Brunei)**: not verified; Malaysia is in the expansion pipeline
 Argus (2025), derived; Argus (2025)

#### Largest producers: global

| Company | Country | Volume | Year | Source |
|---|---|---|---|---|
| **Methanex** largest merchant seller; total capacity not verified; 860 kt Titan idled from end-Q3 2026 (Energy Aspects) | Canada | 4.64 Mt capacity at Geismar 1-3 (4.0) and Medicine Hat (0.64) alone; also Trinidad, Chile, New Zealand, Egypt | 2025 | [Argus plant list (Jun 2025)](https://view.argusmedia.com/rs/584-BUW-606/images/CHE-Sample-report-Methanol-Analytics-June-2025.pdf) |
| **Koch Methanol** | US | 1.7 Mt capacity (St James, Louisiana) | 2025 | [Argus (2025)](https://view.argusmedia.com/rs/584-BUW-606/images/CHE-Sample-report-Methanol-Analytics-June-2025.pdf) |
| **Fairway Methanol** joint venture serving Celanese acetyls (indicative) | US | 1.7 Mt capacity (Clear Lake, Texas) | 2025 | [Argus (2025)](https://view.argusmedia.com/rs/584-BUW-606/images/CHE-Sample-report-Methanol-Analytics-June-2025.pdf) |
| **Natgasoline** | US | 1.65 Mt capacity (Beaumont, Texas) | 2025 | [Argus (2025)](https://view.argusmedia.com/rs/584-BUW-606/images/CHE-Sample-report-Methanol-Analytics-June-2025.pdf) |
| **LyondellBasell** | US | 1.46 Mt capacity (Channelview 0.78, Deer Park 0.68) | 2025 | [Argus (2025)](https://view.argusmedia.com/rs/584-BUW-606/images/CHE-Sample-report-Methanol-Analytics-June-2025.pdf) |
| **Zagros Petrochemical and other Iranian producers** Iran is in the Argus expansion pipeline; exports constrained by sanctions | Iran | not published | 2025 | not verified |
| **Chinese coal-chemical groups (e.g. CHN Energy, Baofeng)** mostly captive for CTO | China | not published | 2025 | not verified |

#### Largest producers: India

| Company | Country | Volume | Year | Source |
|---|---|---|---|---|
| **Assam Petrochemicals (APL)** commissioned May 2024; gas from Oil India at $6.5/MMBtu APM price; net loss Rs 304 crore in FY2025 | India | 0.165 Mt a year (500 t/day plant at Namrup, plus an old 100 t/day unit) | 2025 | [The Sentinel Assam (10 Sep 2025); tonnes a year derived at 330 days](https://www.sentinelassam.com/amp/story/topheadlines/assam-apl-posts-rs-304-cr-net-loss-despite-revenue-from-new-methanol-plant) |
| **Gujarat Narmada Valley Fertilizers & Chemicals (GNFC)** Crisil (2026) says most Indian plants have cut rates or shut because imports are cheaper | India | not published | 2026 | [named as a main producer by NITI Aayog; capacity not verified](https://www.niti.gov.in/sites/default/files/2025-07/India-Leapfrog-to-Methanol-Economy.pdf) |
| **Deepak Fertilisers, RCF, NFL** national capacity was only 0.474 Mt in 2015-16 | India | not published | 2026 | [named by NITI Aayog; capacity not verified](https://www.niti.gov.in/sites/default/files/2025-07/India-Leapfrog-to-Methanol-Economy.pdf) |

India imported about 3.4 Mt in calendar 2025 (S&P Global) and 3.57 Mt in FY2026, about 98% of its needs (Crisil). Oman supplied about 1.6 Mt in 2025 and Saudi Arabia 0.95 Mt. Domestic plants on imported LNG cannot compete; coal gasification under a Rs 37,500 crore programme is the government's answer (Crisil, 2026).

#### Position by region

| Region | Position |
|---|---|
| **US** | Gas-based capacity of about 12.9 Mt (Argus) on Henry Hub gas; a net exporter, about 21% of world exports in 2025 (Crisil). |
| **EU** | High-cost producer on TTF gas; demand growth below 1% in 2026 (Energy Aspects); BASF declared force majeure at Ludwigshafen in July 2026 (ChemAnalyst). |
| **India** | About 98% import dependent; Hormuz disruption in 2026 cut Middle East supply to India by 82% y/y in May and pushed domestic prices up 182% (Crisil, Jul 2026). |
| **China** | Largest producer and consumer; still imports about 15 Mt a year, much of it from Iran (Energy Aspects). |
| **Japan** | Imports most needs; 1.5 Mt demand (Argus 2024); buyers are interested in low-carbon methanol for fuel. |
| **Middle East** | About 28% of world exports in 2025; in 2026 Qatar and SABIC declared force majeure and over 4.5 Mt of production was estimated to be affected by end-May (Crisil, Jul 2026). |

## Other sections

- [Summary](https://www.materialinsights.org/chemicals/methanol/index.md)
- [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)
- [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)