S&P Global Commodity Insights Launches Low-carbon Methanol Marine Fuel Price Assessments for Shanghai and Rotterdam

Rhea-AI Summary

S&P Global Commodity Insights' Platts has launched new low-carbon methanol marine fuel (MMF) price assessments for Shanghai and Rotterdam, effective May 2, 2025. The Shanghai assessments mark the first such assessments in China, following Singapore's launch six months prior. Shanghai, the world's busiest container port, is expected to be a leading Chinese low-carbon methanol trading hub, with China's biomethanol and eMethanol capacity projected to reach 1.5 million mt/year by 2028. The Rotterdam assessments cater to Europe's largest port and bunker hub. These launches come amid significant regulatory developments, including IMO's decision to implement penalties for maritime greenhouse gas emissions from 2028 and FuelEU Maritime's requirement for 2% GHG intensity reduction from 2025-2029, escalating to 80% by 2050.

Positive

• First-ever low-carbon methanol marine fuel assessments in China, expanding market transparency
• China's biomethanol and eMethanol capacity expected to grow significantly from 200,000 mt/year in 2025 to 1.5 million mt/year by 2028
• Strategic launch in Shanghai, the world's busiest container port, and Rotterdam, Europe's largest port
• Provides crucial price transparency for shipowners and investors amid increasing environmental regulations

Negative

• New IMO penalties for maritime greenhouse gas emissions starting 2028 will increase operational costs
• Stringent FuelEU Maritime regulations requiring progressive GHG reductions may pressure industry adaptation
• First Chinese molecules for spot trading not available until mid-2025

Price Points Guide Trading and Investment Decisions for Shipping and 
Decarbonization Industries

SINGAPORE and LONDON and NEW YORK, May 2, 2025 /PRNewswire/ -- Platts, part of S&P Global Commodity Insights, the leading independent provider of information, data, analysis, benchmark prices and workflow solutions for commodities and energy transition markets, today announced the launch of Shanghai low-carbon methanol marine fuel (MMF) assessments, the first in Asia, effective May 2. Platts has also launched Rotterdam low-carbon methanol marine fuel assessment on May 2, adding to the depth and coverage of Platts alternative marine fuels markets.

The two new Shanghai low-carbon MMF assessments come six months after Platts debuted the first-ever in Asia, Singapore low-carbon methanol marine fuel price assessments.

Esther Ng, Platts Global Methanol Pricing Lead, S&P Global Commodity Insights said, "We are pleased to announce the launch of Platts first-ever low-carbon methanol marine fuel assessments for China. Shanghai is the world's busiest container port, and sustainable methanol has already been supplied and bunkered in the port. These assessments aim to provide price transparency for shipowners as the maritime industry marches towards net zero in 2050. Similarly, the publication of Rotterdam low-carbon MMF assessments by Platts will offer the shipping and decarbonization industries valuable price points to guide their trading and investment decisions."

Olivier Maronneaud, Global Research Lead for Methanol and Plastic Circularity, S&P Global Commodity Insights said, "Legislation supporting low carbon bunker fuel has been implemented in Europe and has achieved substantial progress at the global level with the latest IMO MEPC 83 meeting in April. Combined with initiatives from stakeholders including governments, port authorities and ship owners, liquidity for low carbon methanol as bunker fuel is anticipated to increase in the coming months and years."

The International Maritime Organization's Marine Environment Protection Committee in April voted to charge shipowners penalties for maritime greenhouse gas emissions starting from 2028. Just like FuelEU Maritime regulations, IMO's proposed measures are wide-reaching as they will impact the cost of transporting fuel, chemicals, and consumer goods.

Shanghai
China is estimated to have 200,000 mt/year of biomethanol and eMethanol capacity in 2025 and will have 1.5 million mt/year by 2028, according to data from S&P Global Commodity Insights Analytics.

The first Chinese molecules for spot trading are expected to be available in mid-2025, with the Shanghai port shaping up as a leading Chinese low-carbon methanol trading hub.

The Platts Shanghai low-carbon MMF assessments will aid shipowners, low-carbon methanol producers, bunker traders and investors with price transparency in an important and emerging production center of low-carbon methanol.

Rotterdam
The Port of Rotterdam is Europe's largest port and bunker hub. In 2022, it set up the Green and Digital Shipping Corridor with Singapore to reduce emissions from large container vessels on the 15,000-kilometer route by at least 20% by 2030, by enabling the use of low- and zero-carbon shipping fuels.

From January 2025 to 2029, under the FuelEU Maritime regulation, the shipping industry will need to deliver a 2% GHG intensity saving against the FuelEU Maritime fossil fuel comparator, with targets stepping up every five years to 80% GHG savings in 2050.

Platts' publication of Rotterdam low-carbon MMF assessments will provide the maritime and low-carbon methanol industry useful price points for trading, procurement and investment decisions.

The assessments are as follows:

• Platts Low-carbon methanol FOB Shanghai
• Platts Low-carbon methanol marine fuel Delivered Shanghai
• Platts Low-carbon methanol marine fuel Delivered Rotterdam ($/mt)
• Platts Low-carbon methanol marine fuel Delivered Rotterdam (Euro/mt)

The assessments reflect market prices of the product with sustainability documentation stating a carbon intensity or an equivalent greenhouse gas saving when compared with the fossil fuel comparator, as per the prevailing Renewable Energy Directive.

The subscriber note can be accessed here while a full description of the Platts assessment methodology can be found here.

Platts at S&P Global Commodity Insights has been covering the chemicals market for more than 40 years and has an extended suite of aromatics, olefins, polymers, solvents and intermediates price assessments regionally and globally. Platts provides an in-depth coverage and analysis of alternative marine fuels, including LNG, ammonia and bio-bunkers.

Media Contacts: 
Americas/ EMEA: Kathleen Tanzy + 1 917-331-4607, kathleen.tanzy@spglobal.com
Asia/ EMEA: Melissa Tan + 65-6597-6241, melissa.tan@spglobal.com

About S&P Global Commodity Insights
At S&P Global Commodity Insights, our complete view of global energy and commodity markets enables our customers to make decisions with conviction and create long-term, sustainable value.

We're a trusted connector that brings together thought leaders, market participants, governments, and regulators and we create solutions that lead to progress. Vital to navigating commodity markets, our coverage includes oil and gas, power, chemicals, metals, agriculture, shipping and energy transition. Platts^® products and services, including leading benchmark price assessments in the physical commodity markets, are offered through S&P Global Commodity Insights. S&P Global Commodity Insights maintains clear structural and operational separation between its price assessment activities and the other activities carried out by S&P Global Commodity Insights and the other business divisions of S&P Global.

S&P Global Commodity Insights is a division of S&P Global (NYSE: SPGI). S&P Global is the world's foremost provider of credit ratings, benchmarks, analytics and workflow solutions in the global capital, commodity and automotive markets. With every one of our offerings, we help many of the world's leading organizations navigate the economic landscape so they can plan for tomorrow, today. For more information visit https://www.spglobal.com/commodity-insights/en. 

 

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SOURCE S&P Global Commodity Insights

FAQ

What are the new low-carbon methanol marine fuel assessments launched by S&P Global (SPGI)?

S&P Global's Platts launched low-carbon methanol marine fuel (MMF) price assessments for Shanghai and Rotterdam on May 2, 2025, with Shanghai being the first such assessment in China.

What is China's expected biomethanol and eMethanol capacity by 2028?

China's biomethanol and eMethanol capacity is projected to reach 1.5 million mt/year by 2028, up from 200,000 mt/year in 2025.

When will IMO's greenhouse gas emission penalties begin for shipowners?

The International Maritime Organization will begin charging shipowners penalties for maritime greenhouse gas emissions starting from 2028.

What are the GHG reduction requirements under FuelEU Maritime regulations?

FuelEU Maritime requires a 2% GHG intensity reduction from 2025-2029, with targets increasing every five years to reach 80% GHG savings by 2050.

When will Chinese low-carbon methanol spot trading begin in Shanghai?

The first Chinese molecules for spot trading are expected to be available in mid-2025, with Shanghai positioned as a leading Chinese low-carbon methanol trading hub.