Methanol market in Spain

Earlier Report Observations

Between 2018 and 2020, Spain's methanol market volume first grew from 407 thousand tons to 536 thousand tons, then fell back to 502 thousand tons in 2020. The drop in 2020 was directly linked to the COVID-19 pandemic, which forced manufacturing shutdowns and cut industrial demand for methanol derivatives.

A strong rebound to 599 thousand tons occurred in 2021, but the market plunged to 426 thousand tons in 2022. This contraction was largely due to soaring natural gas prices, which raised production costs and made new methanol capacity economically unattractive, even as companies like Methanex invested in green methanol infrastructure.

Subsequent years saw a steady recovery, with volume reaching 431 thousand tons in 2023 and 462 thousand tons in 2024. The expansion was fueled by rising biofuel output from Spanish energy giants Repsol and Cepsa, as well as EU rules like Reglamento (UE) 2024/1789 that promoted renewable methanol production and investment.

Production methanol in Spain

In value, 2017-2020, K $ US

In 2020, Spain's methanol production was valued at 2 355 K $ US, marking a 38.7% increase from the previous year. Over the period from 2017 to 2020, production grew by 27.4%, which translates to an annualized rate of 8.4%. The lowest value was recorded in 2019 at 1 698 K $ US, with the largest decline of 11.8% also occurring that year.

Annual dynamics of production in Spain in value, 2017-2020, K $ US

In kind, 2017-2020, t

Following a two-year decline, Spain's methanol production volume rebounded. In 2020, the country produced 1 129 t of methanol, showing a sharp increase of 49.3% compared to the year before. From 2017 to 2020, production rose by 23.8%, equivalent to an annualized growth rate of 7.4%. The minimum volume was recorded in 2019 at 756 t, with the largest drop of 12.2% also taking place in that year.

Annual dynamics of production in Spain in kind, 2017-2020, t

Exports methanol from Spain

Exports in kind, K t

After two years of growth, methanol shipments from Spain to foreign markets decreased. In 2020, Spain exported 41.1 K t of methanol, representing a moderate reduction of 4.4% year-over-year. Over the 2017-2020 period, exports increased by 14.6%, with a compound annual growth rate (CAGR) of 4.7%. The peak value was recorded in 2019 at 43.0 K t, while the largest increase of 10.6% occurred in 2018.

Annual dynamics of product's exports from Spain in kind, 2017-2020, K t

From 2017 to 2020, France was the dominant partner in Spain's methanol exports by volume, accounting for 79.7% of total flows. Other markets held relatively smaller shares during this time.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Spain in kind, 2017-2020

Exports in value, M $ US

Spain's methanol exports in value terms declined for the second consecutive year. In 2020, exports amounted to 11.6 M $ US, down by 18.8% compared to 2019. Over the 2017-2020 period, exports decreased by 11.8%, with a compound annual growth rate (CAGR) of -4.1%. The highest value was recorded in 2018 at 15.8 M $ US, which also saw the largest increase of 20.3%.

Annual dynamics of product's exports from Spain in value, 2017-2020, M $ US

Between 2017 and 2020, France remained the leading buyer of methanol from Spain in value terms, representing 70.4% of total exports. The remaining exports were distributed among various other countries.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Spain in value, 2017-2020

Imports methanol to Spain

Imports in kind, K t

In 2020, Spain imported a total of value_last_year K t of methanol, down by 6.1% compared to 2019. From 2017 to 2020, imports decreased by 13.1%, equating to an annualized rate of -4.6%. The lowest volume was recorded in 2018 at 445.7 K t, with the largest decline of 28.6% also occurring that year. The largest increase of 29.6% was recorded in 2019.

Annual dynamics of product's imports to Spain in kind, 2017-2020, K t

Over the 2017-2020 period, Egypt (29.8% of imports by volume), Trinidad and Tobago (28.6%), and Equatorial Guinea (21.0%) were the top sources for Spain's methanol imports, together accounting for 79.4% of total flows.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Spain in kind, 2017-2020

Imports in value, M $ US

Spain's methanol imports in value terms fell for the second year in a row. In 2020, imports totaled 137.4 M $ US, a decrease of 30.2% from the previous year. Between 2017 and 2020, imports dropped by 34.1%, which corresponds to an annualized rate of -13.0%. The maximum value was recorded in 2018 at 252.7 M $ US, with the largest increase of 21.1% also occurring that year.

Annual dynamics of product's imports to Spain in value, 2017-2020, M $ US

Throughout 2017-2020, Trinidad and Tobago (30.7% of imports by value), Egypt (24.8%), and Equatorial Guinea (16.9%) formed the core of Spain's methanol imports in value terms, collectively representing 72.4% of total flows.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Spain in value, 2017-2020