US methanol imports in October were nearly 50% lower than the year-ago month as expanded domestic capacity has impacted import demand, according to data released by a trade group on Thursday.
October US methanol imports reached 249,000 mt, 20% higher than 208,000 mt in September, but down 47% from 473,500 mt in October 2014, American Fuel and Petrochemical Manufacturers data showed.
Imports on a year-to-date basis have reached 3,125,000, a 23% reduction from the 4,084,000 mt imported from January-October 2014.
US imports have declined as domestic capacity has increased on the year. The year has seen the startup of Methanex's 1 million mt/year Geismar I in Geismar, Louisiana, the 1.3 million mt/year Celanese/Mitsui facility in Clear Lake, Texas, and a capacity expansion at OCI Beaumont's plant in Beaumont, Texas, to 912,500 mt/year.
In addition, Methanex plans to startup the 1 million mt/year Geismar II facility before the end of the year. That facility would bring US capacity from the start-of-year level of 2.25 million mt/year to 5.75 million mt/year.
In spot markets, Platts assessed US methanol on Thursday at 63.75-64.25 cents/gal FOB USG for December and January, a 6 1/2-year low on soft demand and firm supply due to expanded capacity.
