Americas’ March base oils supply falls

Base oils supply in the Americas extended its fall in March to the lowest in more than two years as a drop in output in Brazil compounded lower production in the US.

Total supply of less than 602,000t in March fell from more than 624,000t the previous month, government data showed.

The volume fell from year-earlier levels of more than 810,000t to the lowest since February 2021. An arctic storm at that time forced the shutdown of a swathe of US refining capacity.

Output of 1.98mn t in the first three months of the year fell from 2.13mn t during the previous quarter and from more than 2.29mn t during the same period a year earlier.

Regional base oils prices faced sustained downward pressure throughout this year even with the sharp fall in supply.