Canada's Methanex, the world's largest producer of methanol, has idled its 850,000 t/yr Titan plant in Trinidad effective today and will idle its 800,000 t/yr Chile IV methanol plant effective 1 April, both for an indefinite period.
Methanex president and chief excutive John Floren said that the closures were because of an anticipated fall in demand during the second quarter when there will be a substantial reduction in manufacturing activity caused by the coronavirus pandemic. Methanex is reducing production at facilities where it has flexibility in gas agreements, to prepare for this lower demand, Floren said.
Methanol prices have come under pressure in all regions this month. The Argus daily assessment of methanol barges fob Houston was $285.95/t on 13 March, down from $327.51/t on the same date last month.
In other regions, Argus assessed methanol cfr China at $198.5/t on 13 March, down from $228/t cfr China on 13 February; and methanol barges fob Rotterdam were at €199/t ($222/t) on 13 March, down from €234.25/t ($254/t) fob Rotterdam on 13 February.
