World Analysis – Ethylene Oxide & Monoethylene Glycol

Long-term outlook to 2060

Ethylene oxide (EO) is a major bulk petrochemical, primarily produced through the catalytic oxidation of ethylene. As a highly reactive intermediate, EO is not used directly; instead, it is converted into a broad range of downstream products. Monoethylene glycol (MEG) is the largest derivative of EO, with demand driven primarily by polyester production, including polyester resins and textile fibers. MEG consumption has grown steadily over the past decade, reinforcing the global need for expanded EO capacity.

Other key EO derivatives include higher-value products such as ethoxylates, ethanolamines, glycol ethers, and polyether polyols. Overall, EO demand is closely linked to global economic growth and increasingly tied to emerging markets, where rising living standards are fueling greater consumption of polymers and chemicals used in packaging, films, textiles, soaps, detergents, and other everyday applications.

Although MEG has traditionally been produced via conventional EO-based routes, new technologies have emerged over the last decade, including coal-to-MEG and bio-based MEG processes. Nearly all conventional MEG producers operate upstream EO units, and the most competitive EO/MEG producers are fully back-integrated into ethylene production.

Over the past decade, significant new MEG capacity has been added in cost-advantaged regions, such as the Middle East and North America, as well as in areas experiencing rapid demand growth, notably Northeast Asia. In the Middle East and North America, the abundance of low-cost ethane has provided a significant feedstock advantage, supporting highly competitive ethylene and EO/MEG production economics. In Northeast Asia, especially mainland China, rapid expansion of the textile sector and the increasing dominance of polyester fibers have driven the startup of multiple world-scale MEG facilities.

Long-term outlook to 2060

The World Analysis – Ethylene Oxide & Monoethylene Glycol offers an in-depth examination of the global ethylene oxide and monoethylene glycol markets, providing comprehensive analysis and strategic insights into the key developments that will shape the long-term supply, demand, trade, and pricing outlooks. This service equips industry participants with the analytical foundation needed to navigate market volatility and anticipate structural shifts across the ethylene oxide and monoethylene glycol value chain.

• A strategic report outlining critical insights and the future trajectory of global and regional markets

• Online Data Browser access to supply, demand, and capacity databases

• Continuously updated company/shareholder capacity listings, capacity integration analysis, and rankings of top producers/consumers, including surplus/deficit capacity profiles

• A comprehensive Data Appendix (Excel) featuring supply/demand and capacity tables, plus a dashboard with standard visualizations for all countries and regions

• Excel data files with long-range supply/demand graphics and price forecasts through 2060, along with detailed trade grids showing country- and region-level trade flows with 5- and 10-year projections

• An interactive online dashboard visualizing capacity, integration, supply/demand balances, trade flows, and price, cost, and margin forecasts

• Explanatory Notes detailing data sources, methodology, assumptions, units, conversion factors, and full World Analysis deliverables

• Energy and macroeconomic assumptions used in the long-term outlook

• Price assessment methodology and forecasting framework

In addition to EO and MEG, capacity and textual analysis are provided for the following products:

• Ethanolamines
• Glycol ethers (E-series)

This World Analysis provides detailed intelligence on capacities, production, demand, and trade across all major producing and consuming countries, regions, and global hubs. While robust data collection underpins the historical and forward views, the true value of the service lies in the expert interpretation and market analysis applied by our global team.

Data verification is a central pillar of our approach. Direct engagement with key industry participants ensures that our conclusions accurately reflect real-world market behavior, delivering the most accurate and realistic forward outlook for the global ethylene oxide and monoethylene glycol industry.

Long-term outlook to 2060