PUBLISHER: MarketsandMarkets | PRODUCT CODE: 1728624
PUBLISHER: MarketsandMarkets | PRODUCT CODE: 1728624
The global green methanol market is anticipated to expand from USD 2.59 billion in 2025 to USD 11.18 billion by 2030, registering a CAGR of 34.0% from 2025 to 2030.
Scope of the Report | |
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Years Considered for the Study | 2021-2030 |
Base Year | 2024 |
Forecast Period | 2025-2030 |
Units Considered | Value (USD Million/Billions), Volume (Kilotons) |
Segments | Green Methanol by region, feedstock, application, and derivatives |
Regions covered | Europe, Asia Pacific, South America, North America, Middle East & Africa |
Stringent government regulations aimed at reducing carbon dioxide emissions and combating climate change propel this growth. Green methanol, produced from renewable sources such as captured CO2 and renewable hydrogen, serves as a sustainable alternative to conventional methanol derived from fossil fuels. This regulatory environment incentivizes industries to adopt green methanol.
"By feedstock, the carbon capture and storage is projected to be the fastest-growing segment of the green methanol market during 2025 to 2030, in terms of volume."
Carbon capture and storage (CCS) is rapidly emerging as a key feedstock for green methanol due to its ability to reduce carbon emissions and provide a sustainable source of carbon dioxide (CO2) for methanol production. CCS technology captures CO2 from industrial facilities or directly from the atmosphere, stores it underground to prevent it from contributing to climate change, and then combines it with renewable hydrogen to produce methanol.
The growth of CCS is largely attributed to its cost-effective method of sourcing CO2 for methanol production while adhering to stringent environmental regulations. Governments are actively supporting CCS through incentives and tax benefits to promote its adoption. As industries and economies increasingly prioritize emission reduction, CCS is becoming an essential component in the production of green methanol, helping industries achieve greater sustainability.
"By application, fuel is estimated to be the fastest-growing segment of the green methanol market from 2025 to 2030."
Fuel is expected to be the fastest-growing application segment in the green methanol market from 2025 to 2030 due to stricter environmental regulations and a shift toward sustainable energy. Green methanol provides a lower-carbon alternative for sectors like shipping, transportation (either blended with gasoline or used in specific engines), and power generation. Its high energy density and compatibility with existing infrastructure make it an attractive option for the transportation sector, facilitating easier adoption without significant infrastructure changes.
"The green methanol market in the North America region is projected to witness the highest CAGR during the forecast period."
North America is projected to witness the highest CAGR in the green methanol market during the forecast period due to its strong commitment to sustainability, government incentives, and increasing investments in renewable energy. North American companies are leading in green methanol production technology and infrastructure development, positioning them well to capture a larger market share. The US is leading the charge with supportive policies, such as tax credits and renewable fuel mandates, which encourage the growth of green methanol production. Moreover, technological advancements in carbon capture and renewable hydrogen are accelerating the region's shift toward cleaner fuels, making it a key driver of market expansion in the coming years.
Key players in the green methanol market include OCI (The Netherlands), Proman (Switzerland), Sodra (Sweden), SunGas Renewables Inc. (US), ABEL Energy Pty Ltd. (Australia), Carbon Recycling International Inc. (Iceland), Petroliam Nasional Berhad (PETRONAS)(Malaysia), Mitsubishi Gas Chemical Company, Inc. (Japan), Methanex Corporation (Canada), Envision Energy (China), Alberta-Pacific Forest Industries Inc. (Canada), Enerkem (Canada), and others.
The report outlines, categorizes, and forecasts the green methanol market size across derivatives, sub-derivatives, end-uses, and geographical regions. It provides strategic profiles of major players, thoroughly examining their market presence and key strengths. Additionally, the report monitors and evaluates competitive activities such as acquisitions, agreements, investments, joint ventures, mergers, product launches, expansions, divestments, and partnerships undertaken by these players within the market.