News and Articles

• China methanol prices fell recently in mid-April and late April as ceasefire talks reduced supply disruption fears.
• High port inventories and strong domestic plant operations increased market availability.
• Healthy producer profits supported steady output and limited supply tightness.
• Sluggish terminal demand weakened downstream buying and reduced price support.
• Resumed plant operations exceeded maintenance losses, adding supply pressure in late April.

Methanol prices in China declined recently in April as easing supply-risk concerns, high inventories and weak downstream demand kept the market under pressure.

Prices moved lower in mid-April as ceasefire talks reduced fears of supply disruption. The shift weakened sentiment at ports, where buyers became less willing to accept higher offers once the risk of tighter supply began to fade.

High port inventories added further pressure. With enough material available in the market, sellers faced difficulty holding prices steady. Strong domestic plant operations also increased availability, keeping supply conditions loose.

Producer margins remained healthy enough to support steady output. This limited the chance of a sharper supply squeeze and gave buyers more room to delay purchases or negotiate lower prices.

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Demand remained weak through late April. Terminal consumption stayed sluggish, and downstream buyers showed limited interest in building stock. Many buyers continued to purchase only according to immediate needs, which reduced market support.

Supply pressure increased further as resumed plant operations outpaced production losses from maintenance. The recovery in output added to available volumes and weighed on prices across the second half of April.

The recent April decline showed that China’s methanol market was driven mainly by supply comfort and weak consumption. Lower disruption fears, high port stocks, steady domestic output and slow downstream buying all pushed prices downward.