Green Methanol Market- Global Industry Size, Share, Trends, Opportunity, and Forecast, 2018-2028

Green Methanol Market- Global Industry Size, Share, Trends, Opportunity, and Forecast, 2018-2028

Global green methanol is expected to grow at an impressive rate through 2028. Increased focus on implementing secure and low-carbon emission efforts, automobile & aviation areas, and other important factors are the many key drivers which expand the market quickly. In addition, the demand for fuel-grade blending chemicals with fossil fuels as well as construction applications results in the growing requirement for green methanol. Compared to conventional fuels, green methanol cuts carbon dioxide emissions by up to 95%, reduces nitrogen oxide emissions by up to 80%, and eliminates sulfur oxide and particulate matter emissions. Green methanol is a low-carbon fuel that can be made from either biomass gasification or renewable electricity and captured carbon dioxide (CO2). In November 2022, Irina Tsukerman, president of the strategic advisory firm Scarab Rising, said that the total world market for green methanol will grow from USD 122 million in 2021 to more than USD 3 billion by 2031.

Furthermore, the growing demand from paint & coatings, pharma, marine, and others are the crucial factors that propel the market's growth. Aside from that, government policies on export and trade, rising R&D spending, and organizational initiatives are what drive the market. Market growth is being fueled by consumer tendencies toward choosing new technologies to maximize profit. As a result, it is expected that the Global Green Methanol Market will gain market share throughout the anticipated period.

Advancements Related to Waste Feedstock

In the current scenario, industrial processes, households, construction sites, and agricultural and forests produce wastes that are not easy to dump and remove properly. This waste also creates pollution which results in the degradation of the environment. Either dumping or replacement is the better solution for this kind of problem. The dumping of all waste is not possible, so the second option plays a vital role. The best way to reduce the waste problem is to convert this waste into useful products. Green methanol is one of the best products which can be generated using this waste. When we use biological waste which includes biomass and converting that biomass to methanol (bio-methanol) by cost-effective process and converting greenhouse gases emitted from the industry into e-methanol using carbon capturing and utilization process results in the reduction of the GHGs and solid waste. This also helps to make the environment healthy and along with that also generates revenue. Thus, there will be an increase in the demand for Green Methanol in the upcoming period, leading to the a in demand for green methanol worldwide.

Additionally, the growing demand from paint, pharma, automotive & aviation are the crucial factor responsible for market growth. Thus, the need for the global green methanol market is expected to rise in the forecast period.

Increasing Demand for Methanol-derived Green Chemicals

The growing green methanol market led to an increase in the production of methanol-derived green chemicals. These chemicals are used in different verticals such as transportation, construction, pharmaceutical, fertilizers, and so on. Methanol is used for the production of formaldehyde, which is used in paint and coating industries, Methyl-tert-butyl-ether helps in the production of biodiesel which helps to increase the use of biodiesel as an alternative fuel, and dimethyl ether is used as a chemical solvent. The production of such chemicals helps in reducing the emission of carbon footprints and results in a green environment.

Increasing Focus on Transportation Sector

Green methanol is used as a source of energy for the power plant. These energies are also used as a transportation fuel. Ammonia and Liquefied Natural gas (LNG) are sources of alternate fuel for the marine domain. It utilizes fossil fuel to produce power for a pure methanol-based drive system which reduces the emission of carbon particles in the environment, which help to control global warming of the earth. International Maritime Organization (IMO) has a lofty goal: to cut carbon emissions from international shipping by at least 40% by 2030 and 70% by 2050, compared to 2008 levels. As technology and application are emerging, there is a significant chance of an opportunity for the market player to acquire a considerable market share.

Recent Developments

In March 2022, OCI N.V. signed an agreement with NortH2 in the Netherlands to supply green methanol. With this Netherlands will become home to the first extensive, integrated green ammonia and green methanol value chain.

In the Anyang project in the Chinese province of Henan, Carbon Recycling International erected the biggest CO2-to-methanol reactor. Carbon Recycling International's emissions-to-liquid (ETL) process technology was used in the construction of the installed reactor, according to an announcement in February 2022.

According to a report from the American Bureau of Shipping in 2021, the cost of green methanol was estimated at USD 643/tonne or $0.032/MJ.

To produce green bio-methanol in North America and Asia, A.P. Moller - Maersk invested in California-based Waste Fuel in September 2021. Waste Fuel will leverage the investment from Maersk to build the infrastructure for bio-refineries, allowing the business to make use of the most advanced technology available to create sustainable fuels from non-recoverable trash.

According to the China petrochemicals corporation, in September 2021, Jiangsu Sailboat Petrochemicals Co. Ltd. signed an agreement with Carbon Recycling International to design a chemical plant based on CRI’s Emissions to Liquids (ETL) technology. The plant will recycle approximately 150,000 metric tons of CO2 and 20,000 metric tons of H2 per year from other onsite processes to produce 100,000 tons of methanol annually.

Market Segmentation

The Global Green Methanol Market is segmented based on feedstock, type, and application. Based on feedstock, the market is further divided into agricultural waste, forestry residues, municipal solid waste, CO2 emission, and others. Based on type, the market is further bifurcated into bio-methanol and e-methanol. Based on application, the market is divided into fuel grade, chemical feedstock, and others. Based on region, the market is divided into North America, Europe, Asia Pacific, and Rest of the World.,

Company Profiles

BASF SE, Carbon Recycling International (CRI), Haldor Topsoe Holding A/S, OCI N.V., A.P. Moller – Maersk A/S, Södra Skogsägarna, Enerkem Inc, Nordic Green ApS, Methanex Corporation, Mitsubishi Gas Chemical Company, Inc. (MCG), ABEL Energy Pty Ltd., Southern Green Gas Limited, Liquid Wind AB, Synhelion SA, Eni S.p.A. are the major players operating in the Global Green Methanol Market.

Report Scope:

In this report, global green methanol market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Green Methanol Market, By Feedstock:
• Agricultural Waste
• Forestry Residues
• Municipal Solid Waste
• CO2 Emission
• Others
• Green Methanol Market, By Type:
• Bio-Methanol
• E-Methanol
• Green Methanol Market, By Application:
• Fuel Grade
• Chemical Feedstock
• Others
• Green Methanol Market, By Region:
• North America
• United States
• Canada
• Mexico
• Asia-Pacific
• China
• India
• Japan
• Australia
• South Korea
• Europe
• Germany
• France
• United Kingdom
• Denmark
• Sweden
• Netherland
• Austria
• Rest of the World
• Brazil

Competitive landscape

Company Profiles: Detailed analysis of the major companies present in global green methanol market.

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Company Information

• Detailed analysis and profiling of additional market players (up to five).

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