Methanol (CAS: 67-56-1) is a core basic raw material in the coal chemical industry chain. Industrial-grade methanol is widely used in formaldehyde, acetic acid, olefins and refrigerants, while fuel-grade methanol is also an important component of methanol gasoline and marine fuel. As a major methanol producing area in China, Xinjiang’s spot price trend is an important benchmark for the northwest and even the national methanol market. For acetic acid producers, olefin plants and fuel traders, fluctuations in Xinjiang methanol spot prices directly affect procurement costs and regional arbitrage strategies.
1. Xinjiang Market Review This Week
Recently, Xinjiang’s methanol market has shown a complex pattern of "price pressure and decline, but improving marginal supply-demand expectations". On one hand, the resumption of major local units and enterprises’ active destocking through price cuts have pushed spot prices down steadily. On the other hand, with the commissioning and restart of new downstream units, local demand is expected to see significant growth, and previously outflowed goods may gradually turn to domestic sales, reshaping the regional supply-demand balance.
2. Supply Side: Major Units Restart, High Operating Rates
Xinjiang methanol output reached 135,350 tons this week, up 1.81% month-on-month; the industry operating rate also rose to 98.00%, up 1.81 percentage points, with overall supply at a relatively high level.
3. Demand Side: Stable Traditional Demand, Strong Emerging Demand Expectations
On traditional demand, large olefin plants in Ningxia and Inner Mongolia carried out external procurement this week, effectively boosting market sentiment across the northwest and supporting the outflow of Xinjiang goods, avoiding excessive inventory buildup.
4. Market Outlook
Before new downstream units are fully commissioned, constrained by high operating rates and major unit restarts, Xinjiang methanol supply will remain abundant. Enterprises still have destocking needs, and prices lack rebound momentum. In the short term, Xinjiang’s methanol market is expected to maintain a weakly volatile pattern with localized price cuts for destocking.
