China MTBE glut deepens with nearly 4 mln t/y of new capacity in 2026

China's MTBE market is expected to face a significant worsening of its supply surplus in 2026, driven by a wave of new capacity additions totaling 3,877,000 t/y. With demand growth remaining tepid and much of the new capacity being self-consumed, market oversupply will intensify, placing substantial downward pressure on prices amid distinct seasonal fluctuations.

China's methyl tert-butyl ether (MTBE) market is poised for a pronounced escalation of its supply glut in 2026. The industry is set to add ten new or expanded production units within the year, collectively bringing a massive 3,877,000 tonnes/year of annual capacity online. This expansion is projected to push total domestic