The global renewable methanol market is predicted to create lucrative growth with a CAGR of 6.6% throughout the forecast period from 2022 to 2032. The market is slated to expand at a robust growth by surpassing US$ 373.5 Mn by the end of 2032. The rising sales of daily items including plastics, paints, cosmetics, and fuels, will fuel the demand for liquid chemical methanol (CH3OH).
According to Future Market Insights (FMI), demand for renewable methanol grew at a surging CAGR of 6.8% across the historical assessment period from 2016 to 2021. Growth in the market is attributed to the increasing awareness of carbon emissions and environmental protection all over the world. Attributing to the increasing trend of sustainability, recycling, and bio-based chemicals have been witnessing a heavy surge in demand.
Methanol is known as a key blending agent in conventional fuels in order to reduce their emissions, due to which it is witnessing rapid growth. Renewable methanol produced with the help of renewable feedstocks is expected to gain traction in the market. In addition to that, the rapid implication of strict regulations across emissions from vehicles and industries is anticipated to be the key factor driving the growth in the market.
Request Sample@ https://www.futuremarketinsights.com/reports/sample/rep-gb-443
Key Takeaways
As compared to gasoline, the application of methanol in internal combustion engines reduces greenhouse gas emissions by 15 to 20%. In addition, it also burns with clean fumes and can be used in spark ignition port injected gasoline engines without any modification. This makes renewable methanol suitable for use as a superior liquid motor fuel.
In addition to that, favorable government regulations in various countries such as the U.S., China, India, and European countries utilize over 10% of renewable fuels in motor fuels by the end of 2025 is expected to drive demand for second-generation biofuels such as renewable methanol over the forecast period.
The low greenhouse gas emissions and renewable feedstocks methanol fall under the next-generation fuel solutions which can adjust to strict governmental norms that are tightening their noose over various vehicle manufacturers regarding emissions.
Fuel cell technology is known as another key application of methanol. Fuel cell technology is trending due to its booming electric vehicle sales across the globe. Demand for electric vehicles has surged exponentially over the past few years, and according to a study, the market is expected to follow this trend over the upcoming assessment period of 2022–2032.
Plug-in hybrid electric vehicles extract their power from high-performance batteries rather than from fuel. Renewable methanol, which is anticipated to be environment-friendly and cost-effective, can be used in fuel-cell vehicles. Furthermore, renewable methanol can also be fed directly to the fuel cell without its reformation with hydrogen.
Synthesis gas is a mixture of carbon dioxide, hydrogen and carbon monoxide which is used to create liquid methanol. These basic elements are utilized from a variety of feedstocks and by employing various technological techniques.
Some of the most preferred feedstocks comprise natural gas and biomass for the production of methanol. In accordance with the growing trend of sustainability and high growth in recycled and bio-based chemicals, the global renewable methanol market is anticipated to witness a surge in demand over the forthcoming decade.
Competitive Landscape
Leading manufacturers of renewable methanol are fully engaged in the expansion of their production capacities to efficiently cater to the rising demand for the product. Prominent manufacturers are engaged in the expansion of production facilities and acquisitions/mergers of regional small – medium level players in order to get an edge over the global market.
More Insights into the Renewable Methanol Market
According to the FMI analysis, the U.S. is expected to dominate the global renewable methanol market by accounting for a significant market share of around 22.4% in the global market landscape. The growth is attributed to high awareness and strict government regulations regarding emissions and carbon footprints in the country. This compels the utilization of methanol for fuel and other products to decrease their emission levels significantly.
India is considered to be the fastest growing market for methanol and renewable methanol across the world. Growth is driven by stringent regulations over vehicle emissions in the country. Implementation of BS – III, BS – IV, BS – VI, and various other regulations including compulsory use of methanol or other renewable fuel in fuel blending is benefitting the market.
Renewable Methanol Market by Category
By Primary Source:
Biomass
Municipal Waste
Industrial Waste
Others
By End Use Sector:
Formaldehyde
MTBE
Gasoline
Dimethyl Ethers
Solvents
Others
By Region:
North America
Latin America
Europe
East Asia
South Asia Pacific
MEA