Global methanol markets began to rally in early  Q3 as demand started to recover following the shock from the global pandemic. Prices in all regions have been on an uptrend over the summer with momentum continuing through the typically strong fall season. During the second quarter, prices fell significantly below the marginal costs to produce (see chart, “Global Methanol Pricing Comparison, taken from the MMSA Methanol Market Weekly Analysis – MMWA) and this led to a cessation in high cost production in China and locations reliant on exports to China.
MMSA Methanol Notes – 2020-10-13
USD $67.01
Methanol Pricing Rebounds Sharply on MTO Demand Surge