Methanol: A Global Strategic Business Report
San Jose, California (PRWEB) May 09, 2012
Follow us on LinkedIn – Global demand for Methanol is expected to surge in the following years. Among various applications that are expected to influence this growth, application of Methanol in fuel is expected to remain at the forefront. Globally, there is a growing trend towards the use of Methanol in the production of bio-diesel, and as an additive to conventional fuels. Demand for Dimethyl ether, which can be used as a substitute for diesel among other applications, is on the rise. China, a leader in using methanol as a blend of conventional fuels, is investigating MTG (Methanol-To-Gasoline) technology. Methanol is currently being used in transesterification stage of Biodiesel manufacturing process. Given the fact that numerous biodiesel projects are under consideration or construction stage, the demand for methanol is likely to increase in this space and compensate for some of the demand lost to Methyl tertiary-butyl ether (MTBE). Several countries are seen increasingly placing biofuel quotas to lower dependence on fossil fuels. The EU's Renewable Energy Directive (RED) placed a target of about 10% by the year 2020. The trend continues to fuel growth in the consumption of and demand for biodiesel with market reaching approximately 10 million tonnes in Europe, expanding consistently at 25% per year.
Following a brief decline in prices during the recession, global Methanol market is all set to recuperate and gain momentum in the following years. Worldwide production capacity as well as production of methanol is expected to surge in the following years. As such capacity as well as production has been increasing over the last few years and the trend is expected to continue. The sector is expected to witness substantial infusion of investments, and the entry of new players into the market. Yet another factor driving growth in the global market is the outstanding growth of Methanol market in China. Not only has the country been producing a major share of the global Methanol output but also has been increasingly importing Methanol from global markets to address the rising domestic demand.
Methanol Alternative Fuels category includes biodiesel, gasoline blending & combustion, and DME. The market is positioned as the largest and fastest growing methanol category, expected to surge at a strong double-digit growth rate of more than15% over the analysis period. The potential that Methanol offers as an alternative fuel in transportation has been well known for several years. Worldwide, fears over energy security and increasing uncertainty over the availability of crude oil in future have given a fresh lease of interest in methanol globally. Presently, several countries are embarking on initiatives to introduce methanol blend in conventional fuels or to promote the use of dedicated Methanol vehicles. In China, for instance, companies such as Chery, Geely, and First Automobile are en route to the mass production of M85 or M100 vehicles. In Malaysia, Petronas, the national oil company, leads the demonstration program for methanol cars. Fuel price inflation and energy concerns are driving the initiatives to test methanol cars in the Middle East. Iran announced plans to test M15 cars in the country, while Israel too is contemplating on such trials due to rising energy security concerns. In Europe, countries such as Sweden are preparing for testing low Methanol concentration blends, while the Netherlands has successfully completed testing of M85 vehicles through a rally.
Formaldehyde comprises the other major end-use segment of Methanol and is one of the most important basic organic chemical industrial materials. Formaldehyde resins are used in engineered wood products such as particle board produced from waste wood. Development of automobile, construction, electronics, and light industry, fuelled the demand for polyformaldehyde, which in turn increased consumption of formaldehyde.
Asia-Pacific, spearheaded by China, clearly leads the global growth in the methanol market, capturing the largest share of the overall market, as stated by the new market research report on Methanol. The region is forecast to race ahead at a robust CAGR of 8.7% through 2017. Rapid development of chemical, construction and automobile industries, and increased usage of the chemical in various end-use segments including alternative fuels, acetic acid, pharmaceuticals, and fuel cells among others is encouraging the market growth in the Asia-Pacific region. Post recession, methanol recovery rests on the Asia-Pacific, and more specifically China. Strong domestic demand for Methanol in China, owing to the increased use of Methanol in fuel applications in the country, is expected to be the key driver for Methanol demand globally.
Major players profiled in the report include Atlantic Methanol Production Company LLC, BASF SE, BioMethanol Chemie Nederland B.V, Eastman Chemical Company, LyondellBasell Industries, Methanex Corporation, Methanol Holdings (Trinidad) Limited, Mitsubishi Gas Chemical Company Inc., National Iranian Petrochemical Company, PETRONAS, Qatar Fuel Additives Company Ltd., Repsol YPF, Saudi Basic Industries Corporation, Statoil ASA, among others.
The research report titled “Methanol: A Global Strategic Business Report” announced by Global Industry Analysts Inc., provides a comprehensive review of the methanol markets, current market trends, product overview, end-use market analysis, recent industry activity, and profiles of major/niche global as well as regional market participants. The report provides annual consumption estimates and projections for methanol market for the years 2009 through 2017 for the following geographic markets – US, Canada, Europe, Asia-Pacific, Latin America, and Rest of World. Key end-use segments analyzed include Formaldehyde, Acetic Acid, MTBE, MMA, DMT, Alternative Fuels, and Others. The study also presents a historic review for the years 2003 through 2008 for an additional perspective.
For more details about this comprehensive market research report, please visit –
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Global Industry Analysts, Inc., (GIA) is a leading publisher of off-the-shelf market research. Founded in 1987, the company currently employs over 800 people worldwide. Annually, GIA publishes more than 1300 full-scale research reports and analyzes 40,000+ market and technology trends while monitoring more than 126,000 Companies worldwide. Serving over 9500 clients in 27 countries, GIA is recognized today, as one of the world's largest and reputed market research firms.
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