Monoethylene Glycol (MEG) Market Outlook - Supply and Demand Analysis 2024-2032

Monoethylene Glycol (MEG) Market

Monoethylene glycol (MEG) is a viscous liquid, characterised by its clear and colourless appearance and sweet taste with no odour. MEG is primarily utilized as a raw material in the production of polyester fibres, films, and resins, such as polyethylene terephthalate (PET). Additionally, it serves as an essential ingredient in the manufacture of antifreeze, coolant, and de-icing solutions due to its low freezing point and high boiling point. The compound is produced through the hydration of ethylene oxide. Currently, fossil-based feedstocks, like naphtha, coal, or gas are predominantly used to prepare MEG.

Global Supply/Demand Outlook

The global monoethylene glycol (MEG) market stood at a volume of around 35,800 KT in 2023. The market is estimated to grow at a CAGR of 4.60% between 2024 and 2032 to reach a volume of about 53,149.1 KT by 2032. The market for monoethylene glycol (MEG) is supported by its increasing applications in different sectors. Its versatility and effectiveness make it a valuable component in diverse industries, including the plastic, textile, and chemical industries. It is widely utilised in the plastic industry for the production of films and resins, particularly polyethylene terephthalate (PET). In the textile sector, the compound is utilised in multiple processes, including polyester fibre production, printing, dyeing, and textile processing. Its growing demand as a feedstock in the packaging and textile sectors is expected to aid the market.

Among various applications, polyester fibre and yarn leads the market for MEG, accounting for around 58% of the market share. Furthermore, the development of bio-based MEG that can help reduce carbon emissions is expected to further strengthen the market.

The global capacity of monoethylene glycol (MEG) was about 59,000 KT in the year 2023. It is estimated to reach 65,000 KT by 2032. Asia Pacific holds the major share of monoethylene glycol (MEG) capacities, representing around 68% of the global production capacity. The plant capacity utilization of monoethylene glycol (MEG) stood at 63% in 2023.

Regional Market Analysis

The Asia Pacific region is expected to be the biggest market for MEG owing to the increasing demand for polyester fibre and the growing production of PET, which is used in diverse industries, such as the packaging sector, especially for beverage bottles.

Key Market Players

The top five players in the global monoethylene glycol (MEG) market are SABIC, ExxonMobil Corporation, Mitsubishi Chemicals, Formosa Plastic Corporation, and LyondellBasell Industries N.V.

The market leaders increasingly invest in research and development to innovative products and develop sustainable solutions. For instance, in November 2020, Braskem and Haldor Topsoe announced the successful development of their first bio-based MEG from sugar, following their 2017 collaboration to produce innovative and sustainable products. As the focus on building new value chains to deliver sustainable solutions increases, the technology is expected to witness increased adoption, revolutionizing the market and other end use markets.

Other major manufacturers of monoethylene glycol (MEG) are Royal Dutch Shell plc, Indian Oil Corporation Limited, Raha Group, Arham Petrochem Pvt. Ltd., Sinopec, Nan Ya Plastics Corporation, Ishtar Company LLC, and Kimia Pars Co.

Key Questions Answered in the Report:

• What are the high-growth opportunities and markets for monoethylene glycol (MEG) by application and region?

• Which segments and regions are projected to grow at a faster pace and why in the monoethylene glycol (MEG) market?

• What is the nameplate capacity of monoethylene glycol (MEG) by region from 2018 to 2032?

• How does the plant capacity utilisation of monoethylene glycol (MEG) vary by region between 2018 and 2032?

• Who are the major players in the monoethylene glycol (MEG) market by capacity and region?

• What major plant shutdowns and expansions have occurred in the monoethylene glycol (MEG) market in the last year and the last quarter?

• What major plant shutdowns and expansions are planned in the monoethylene glycol (MEG) market over the next year and quarters?

• How did export and import dynamics of monoethylene glycol (MEG) vary by region in terms of value between 2018 and 2023?

• How did export and import dynamics of monoethylene glycol (MEG) vary by region in terms of volume between 2018 and 2023?

• What impacts have shutdowns, force majeure events, and plant closures had on demand and pricing of monoethylene glycol (MEG)?

• What are the environmental considerations and regulatory impacts affecting the monoethylene glycol (MEG) market?

• What technological innovations are having an impact on the production and application of monoethylene glycol (MEG)?

• What are the key trends and innovations in the monoethylene glycol (MEG) market?

• What are the challenges and opportunities faced by monoethylene glycol (MEG) manufacturers?

• What are the potential risks and barriers to entry for new players in the monoethylene glycol (MEG) market?

• What strategic investments and expansions have major players made in the monoethylene glycol (MEG) market?

• How are geopolitical factors and international trade policies affecting the global monoethylene glycol (MEG) market?

• What are the price trends for monoethylene glycol (MEG), and how are they expected to change?

• How does the supply chain of monoethylene glycol (MEG) operate, and what are its key components?