A hydrocarbon conversion process is described. The process includes contacting in a reactor an inert gas with one or more catalyst compositions suitable for methylation of toluene and hydrogenation of phenol; contacting a reducing agent with the one or more catalyst compositions under conditions suitable for reducing metal oxide content of the catalyst composition; contacting at least part of toluene and/or benzene-containing with a oxygenate in the presence of the one or more catalyst compositions and under conditions effective to convert toluene to xylenes and produce a reactor effluent stream comprising para-xylene and having a lower concentration of phenol than the toluene-containing stream; separating at least one para-xylene-enriched stream from the reactor effluent stream; and separating from the at least one para-xylene enriched stream at least one toluene-enriched stream and at least one para-xylene-product stream. An apparatus for carrying out such a process is also described.