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Weekly Analysis of China's Methanol Production and Capacity Utilization Rate (July 31 – August 6, 2026)

Published on 2026-08-06

1. Qualitative Analysis of Output and Capacity Utilization Trends

During the current week (July 31–August 6, 2026), China’s methanol output reached 1,976,885 tonnes, up 62,580 tonnes from the previous week. The plant capacity utilization rate was 87.53%, up 3.11% week-on-week.

Table 1. China weekly methanol output and capacity utilization comparison (unit: tonnes, %)

Item Current week Previous week WoW %
Output 1,976,885 1,914,305 +3.27%
Capacity utilization 87.53% 84.89% +3.11%

New production capacity was commissioned within the week, such as Xinxing Huier’s 200,000 t/y coke-oven-gas-to-methanol plant. Several units also entered maintenance, including one in Inner Mongolia, one in Shandong, and two in Shaanxi, while no new production-cut units were added. In addition, units that had previously undergone maintenance or output cuts resumed operations, including Inner Mongolia Rongxin, Shaanxi Yulin Coal Chemical, as well as one unit in Shandong and two in Ningxia. As the restored capacity outweighed the lost capacity during the period, capacity utilization and output increased.

2. Forecast of Output and Capacity Utilization Trends

Next week, China’s weekly methanol output is expected to be around 1.9505 million tonnes, with capacity utilization at approximately 86.33%, both lower than the current week. The capacity involved in planned maintenance and output cuts will exceed the capacity involved in restarts, leading to lower capacity utilization and output.

3. Comparison of Capacity Utilization and Price Trends

In the current week, China’s methanol capacity utilization rate was 87.53%, up 3.11% week-on-week and up 7.19% year-on-year. The sharp rise in capacity utilization substantially increased market supply. Futures prices fell notably, buying enthusiasm weakened, trading sentiment cooled, producers faced poor sales, and transaction prices in the main production areas declined.

(Note: Because some historical data have been revised, the most recent data for the current week should prevail.)

Sample description: Chempricehub Information’s weekly methanol output and capacity utilization data for China are primary statistics, covering 180 domestic methanol producers with 100% sample coverage. The statistical period runs from Friday of the previous week to Thursday of the current week, and the data are released at 14:30 every Thursday.

Terminology: Output generally refers to the quantity of products that a producer actually manufactures during a certain period that meets applicable standards (not sales volume, but the weight or volume of products under certain measurement units), i.e., actual output. Capacity utilization refers to the degree to which a company’s production capacity is used, also known as operating load, and is generally calculated as the ratio of product output or raw material processed to effective capacity.

Statistical scope: Weekly output and capacity utilization statistics cover the period from Friday of the previous week to Thursday of the current week, with data released at 14:30 every Thursday.

Comments

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  • Olivier Dupont 2026-09-08 10:39
    Watching China methanol capacity utilization jump to 87.53% is impressive, but rising supply clearly pressured prices. With next week's output expected to ease, I'm bracing for tighter margins rather than a real price re..
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