China’s Dimethyl Carbonate Prices Jump 10% as Middle East War Threatens Methanol Supply

China’s Dimethyl Carbonate Prices Jump 10% as Middle East War Threatens Methanol Supply

Yasar Kemal 23-Mar-2026

Dimethyl carbonate markets in China strengthened in early March 2026 after a subdued February, with sentiment improving as downstream procurement resumed following the Lunar New Year slowdown. Comfortable tank stocks and stable logistics had previously pressured offers, but rising spot inquiries from electrolyte blenders and scheduled battery related shipments helped shift the tone. Although imported methanol and freight uncertainties kept sellers cautious, the broader market for dimethyl carbonate showed signs of stabilization across lithium ion electrolyte, polycarbonate intermediate, and pharmaceutical segments. Softer domestic methanol prices eased margin pressure and allowed some exporters to adjust offers while integrated producers maintained steady utilization, ensuring ample supply. Weekly assessments reflected a clear rebound, with mid March levels climbing more than 10% from early month lows. Looking ahead, dimethyl carbonate prices may see modest gains through mid year, though softer call offs from some electrolyte producers and persistent shipping related risks could limit upside. Overall, the market remains balanced, with feedstock trends and global logistics shaping near term direction.

China’s dimethyl carbonate market shifted from a muted February to a more constructive early March as downstream procurement gradually resumed after the Lunar New Year lull. Market participants noted that comfortable tank stocks and smooth logistics had weighed on offers through February, but a rise in spot inquiries from electrolyte blenders and upcoming battery-related shipments helped lift sentiment across key trading hubs.

Despite the improvement, sellers remained cautious due to uncertainties surrounding imported methanol availability and freight costs, both of which continued to influence pricing discussions for dimethyl carbonate. Demand patterns were uneven: lithium-ion electrolyte producers provided moderate support as they restocked, while polycarbonate intermediate buyers maintained routine purchasing and pharmaceutical orders from US customers held steady, keeping overall consumption stable but unspectacular.

February assessments reflected the earlier softness, with ex-Shenzhen dimethyl carbonate values printing at $xxx/MT versus a prior $xxx/MT reference. China’s...

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