Methanol Futures in China Stabilize on Pre Holiday Logistics Tightness

MTO Sector Resilience

Demand from the MTO sector remains the key anchor for global prices. Chinese facilities are maintaining high utilization rates to build finished goods inventory before the February shutdown, absorbing the surplus in the domestic market.

Global Surplus Looming

Beyond the holiday, the 2026 outlook for methanol is bearish due to nearly 15.6 million tons of new petrochemical capacity coming online. This global expansion is expected to pressure margins in the second half of the year.