Green Methanol Market Set to Reach $11.18 Billion by 2030
Market projected to grow at 34.0% CAGR as demand rises for lower-emission alternatives to fossil fuel-derived methanol
The global green methanol market is projected to grow from USD 2.59 billion in 2025 to USD 11.18 billion by 2030, registering a CAGR of 34.0% during the forecast period, according to the report “Green Methanol Market by Feedstock (Biomass, Green Hydrogen, CCS), Derivative (Formaldehyde, Dimethyl Ether & Methyl Tert-Butyl Ether, Gasoline, Methanol-to-Olefin, Solvents), Application (Chemical Feedstock, Fuel), and Region - Global Forecast to 2030.”
The market is being driven by growing efforts to reduce greenhouse gas emissions and address climate change. Demand for green methanol is also increasing as industries explore alternatives to conventional fossil fuel-derived methanol, while government policies promoting renewable energy and emissions reduction are supporting investment and market expansion.
North America Projected to Record Highest CAGR
North America is projected to register the highest CAGR in the green methanol market during the forecast period.
The growth is attributed to stringent environmental regulations and policies aimed at reducing greenhouse gas emissions, which are supporting demand for sustainable alternatives such as green methanol. Investments in renewable energy infrastructure and advanced technologies are also supporting production, while the presence of major industry players and ongoing research and development activities are expected to contribute to regional market expansion.
Recent Developments in Green Methanol
Several developments have taken place across the green methanol and related hydrogen sectors:
- February 2025: Mitsubishi Gas Chemical Company Methanol Reformer S.L. and Element 1 Corp. signed a Memorandum of Understanding (MOU) to collaborate on developing and commercializing hydrogen solutions using methanol reforming technology, focusing on the design, manufacture, and sales of modular, mass-producible Methanol-to-Hydrogen generators.
- October 2024: Carbon Recycling International entered into an agreement with Taoving Group to implement its methanol synthesis technology in a new large-scale E-methanol production facility in Lioyuen, China, further expanding its presence in the country.
- September 2024: Methanex Corporation signed an agreement to acquire OCI Global’s International Methanol Business for USD 2.05 billion. This acquisition will strengthen Methanex’s position as a global methanol leader by increasing its capacity, enhancing feedstock access, and accelerating growth in the low-carbon methanol segment.
- May 2024: SunGas Renewables Inc. partnered with C2X LLC to accelerate green methanol production in North America through technology, investment, and facility development.