MTBE: Production
China's overcapacity and the US export pivot
China's overcapacity and the US export pivot 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 | not published in sources reached; China has overcapacity (S&P Global, 2025) | S&P Global (H1 2026 trends) | |
| World output | about 30-33 Mt (2024, derived) | Energy Aspects (2026), derived | |
| Capacity utilisation | not published | Many Chinese plants ran at low margins or losses in 2025 (S&P Global). | S&P Global (H1 2026 trends) |
| Concentration | Asia more than half of demand; China more than half of Asia | Top-3 company shares not published. | Energy Aspects (2026) |
| New capacity | at least 1.26 Mt of new Chinese capacity in 2026 | Zhenhua Petrochemical 660 kt; Sinopec Zhongyuan 600 kt (S&P Global). Chinese exports to Europe and Latin America expected to rise. | S&P Global (H1 2026 trends) |
Top producing countries
- China: largest consumer and producer; more than half of Asian demand, Asia more than half of world
- Southeast Asia and Oceania: second-largest consumer region (2024)
- Middle East (Saudi Arabia): third-largest consumer region; major exporter to Europe and Asia
- United States: producer and exporter; about 1.33 Mt exported in Jan-Aug 2025 (derived from 1.115 Mt to Mexico = 84%)
- Europe: flat demand; shift to ETBE in Italy and elsewhere
Largest producers: global
| Company | Country | Volume | Year | Source |
|---|---|---|---|---|
| Sinopec total capacity not verified | China | 0.6 Mt new capacity planned at Zhongyuan Petrochemical | 2026 | S&P Global (H1 2026 trends) |
| Zhenhua Petrochemical | China | 0.66 Mt new plant planned | 2026 | S&P Global (H1 2026 trends) |
| SABIC large exporter (indicative) | Saudi Arabia | not published | 2025 | not verified |
| LyondellBasell PO/TBA-based MTBE and ETBE (indicative) | US | not published | 2025 | not verified |
Largest producers: India
| Company | Country | Volume | Year | Source |
|---|---|---|---|---|
| Reliance Industries (Hazira) BPCL, IOCL and Reliance held all 0.211 Mt of Indian capacity in 2017 | India | not published | 2017 | GlobalData via Sweet Crude Reports (2018) |
| Indian Oil Corporation (Vadodara) | India | not published | 2017 | GlobalData via Sweet Crude Reports (2018) |
| Bharat Petroleum (Mahul) | India | not published | 2017 | GlobalData via Sweet Crude Reports (2018) |
| Haldia Petrochemicals (planned) start not verified | India | 0.099 Mt a year | 2022 (planned) | GlobalData via Sweet Crude Reports (2018) |
| Nayara Energy, Vadinar (planned) start not verified | India | 0.15 Mt a year | 2022 (planned) | GlobalData via Sweet Crude Reports (2018) |
India's MTBE capacity was 0.211 Mt in 2017, forecast at 0.46 Mt by 2022 (GlobalData). Crisil puts MTBE at 10% of India's methanol demand (FY2026e), about 0.35 Mt of methanol, which implies close to 1 Mt of MTBE if all made locally (derived); current capacity and imports not verified. India's ethanol blending (E20) competes with MTBE for octane.
Position by region
| Region | Position |
|---|---|
| US | Banned as a petrol oxygenate since 2006 (state bans and phase-out); still produced for export: 84% of exports went to Mexico in Jan-Aug 2025. |
| EU | Flat demand; Italy and others shifting to ETBE for biofuel mandates; supply increasingly from the Middle East and China. |
| India | Made in refinery C4 units; E20 ethanol blending reduces octane need from MTBE. |
| China | Largest consumer and producer; overcapacity and weak domestic blending demand push exports. |
| Japan | Stopped using MTBE in petrol in 2001 (S&P Global CEH). |
| Middle East | Large on-purpose plants export to Europe and Asia. |