INSIGHT
Samantha Wright, Senior Editor Manager
Base Oil Report
Europe European domestic base oils market dynamics remained stable in mid-September with prices rolling over for Groups I and II. Demand had improved versus August, but was still on a hand-to-mouth basis. Group III prices decreased amid a rise in the amount of imports seen entering the region in September. European export Group I values increased slightly as higher offers were heard amid pressure from rising gasoil prices.
US
In mid-September, US domestic prices were stable while export prices increased slightly. Bullish crude, VGO and diesel prices continue to apply pressure to base oils despite generally lacklustre demand in downstream lubricant and industrial markets. Availability is limited as refiners prioritise distillate production at the expense of base oil. Domestic demand for base oil continues to be lacklustre. Buyers seem to remain committed to keeping lean inventories due to cost-cutting efforts.
Asia
Asian Group I spot prices were stable to firm in mid-September. Limited spot availability of southeast Asian cargoes continued to be offset by stagnant demand. In the Group II market prices firmed, amid heightened interest in India due to the lack of supply of lower priced imports on the back of strengthening crude and gasoil prices. While buying interest in other regions such as southeast Asia also picked up, China demand remained in the doldrums in view of a slower-than-expected economic recovery. Group III values were steady to soft in the middle of September due to pressure from lower prices imports.
Middle East
In the Middle East market, spot Group I prices edged up in the middle of September on the back of steady demand, in the absence of spot availability from other regions and tracking firm crude and gasoil. Ex-tank prices too mainly rose tracking this, and drew further support from an extended clearance and approval process involved for incoming imports. Group II values were more stable to firm while Group III prices were seen in a wider range mid-September.
www.icis.com
LUBE MAGAZINE NO.177 OCTOBER 2023
65
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52 |
Page 53 |
Page 54 |
Page 55 |
Page 56 |
Page 57 |
Page 58 |
Page 59 |
Page 60 |
Page 61 |
Page 62 |
Page 63 |
Page 64 |
Page 65 |
Page 66 |
Page 67 |
Page 68
