- Methanol, a widely used chemical and energy source, serves as a fundamental building block in the production of formaldehyde, acetic acid, and various petrochemical derivatives, and is increasingly used as an alternative fuel in marine and automotive sectors
- The escalating demand for methanol is primarily driven by its applications in energy, automotive, construction, and chemical manufacturing, alongside rising adoption of methanol-to-olefins (MTO) technology and clean fuel initiatives globally
- North America dominates the methanol market with the largest revenue share of 36.4% in 2025, led by the U.S., where abundant shale gas reserves have fueled significant methanol production capacity, making the region a key exporter and consumer of methanol across both fuel and non-fuel segments
- Asia-Pacific is expected to be the fastest-growing region in the methanol market during the forecast period, supported by rapid industrialization, expanding chemical manufacturing, and surging methanol consumption in countries like China and India, particularly in formaldehyde and MTO applications
- The formaldehyde segment is expected to lead the methanol application market with a share of 38.2% in 2025, owing to its continued demand in the production of resins used across construction, automotive, and furniture industries worldwide
