MMSA Methanol Notes – 2020-06-02

USD $67.01

China Methanol Delivered Cash Costs – Slowed Demand Lowers Marginal Supply Economics



MMSA China methanol delivered cash cost curve estimates show that methanol pricing is currently well below floors amidst significantly lower demand and continued oversupply. Approximately half of the producers that supply China are currently selling at a marginal loss and it is a particularly challenging situation those coal-based producers on the upper right part of the curve that are still operating.