The global methanol market size is set to gain traction from the urgent need to lower environmental pollution caused by the surging usage of heavy fuels, such as diesel and gasoline. Pollution further leads to global warming and climate change. Statista mentioned that the earth’s surface temperature was 0.98 Celsius degrees warmer in 2020 than the 20^th Century average. This information is published by Fortune Business Insights™ in a report titled, “Methanol Market, 2021-2028.” As per the report, the market stood at USD 27.95 billion in 2020. It is projected to grow from USD 28.74 billion in 2021 to USD 39.18 billion in 2028 at a CAGR of 4.5% during the forecast period.

COVID-19 Pandemic: Lower Demand for Paints and Adhesives to Hamper Growth

The outbreak of the COVID-19 pandemic has slowed down manufacturing activities worldwide. For instance, Methanex Corporation, a leading firm in the market, stopped activities in its plants with production capacities of 800 KT and 850 KT per annum in Chile and Trinidad, respectively. Besides, the lower demand for chemicals, paints, and adhesives derived from this compound is set to hamper growth amid the pandemic.

Source:

https://www.fortunebusinessinsights.com/industry-reports/methanol-market-101552

The increasing demand from automotive industries is a Global Methanol Market trend. In addition, the growing requirement for petrochemicals is boosting the demand for globally as the is used on a large scale in the production of petroleum. Another leading driving factor for the Global Methanol Market is the production of olefins such as ethylene, toluene, butadiene, benzene, propylene, and xylenes. Apart from this, the growing demand for adhesive from furniture and other material is anticipated to fuel the demand for as methyl alcohol acts as a precursor to adhesive. In addition, fuel blending applications are estimated to boost the Global Methanol Market demand.