Methanol to Gasoline Market Trends

Growth Drivers

• Need for Emergency Power Supply: The dependence of the world on electricity is growing. However, the prevalence of power outages is also growing all around the world. For instance, in 2021, close to 349 population in the world faced significant power outages. Therefore, such an outage could bring disruption in daily life or work. Hence, gasoline is preferred in such a situation, due to which the market for methanol to gasoline is anticipated to increase.
• Growing Price of Fossil Fuel: The price of fossil fuel is surging all across the world owing to various factors such as the manipulation of the energy supply by Russia which has further led to greater and more unstable energy prices in a competitive market. Hence, the utilization of methanol in gasoline is set to grow.
• Reduction in Price of Automotive: Automotive industries are investing heavily in various technological advancements which have further improved manufacturing along with reducing labor costs which has further reduced the final cost of the product. As a result, a large number of people are opting for automotive which is additionally boosting demand for methanol to gasoline process.

Challenges

• Toxic Nature of Methanol
• High Formaldehyde Emission
• Availability of Alternative Energy Source – Methanol-gasoline is set to be the better alternative for gasoline or any other fossil fuel/ However, the has been a growing demand for cleaner alternatives such as solar energy, wind energy, and more for the generation of electricity. Moreover, the surge in the prevalence of electric vehicles is also predicted to hinder the adoption of methanol-gasoline. Therefore, the growth of the market is expected to be restrained.