Lubricating oil consumption in the Americas region held firm in December even in the face of slowing economic growth and a seasonal slowdown in demand.The steady consumption contrasted with an unusually steep slump in lube demand in Europe at year-end and slower demand in other regions like southeast Asia..Europe’s December lube demand falls.The contrasting trends left supply-demand fundamentals more balanced in Latin America especially. The more balanced fundamentals are likely to support steady demand for base oils.The slump in lube demand in Europe by contrast slashed demand for base oils. The lower demand compounded the impact of surplus supplies in the region as buyers held off replenishing stocks.The subsequent pressure on European base oils prices pushed them down to levels that made feasible the arbitrage to move surplus base oils supplies to Latin America.More such shipments were lined up in recent weeks to move to Latin America.Total lube consumption in December came to almost 596,000t in the US, Mexico, Brazil and Argentina combined, government and industry data showed..The 3pc fall in demand from November contrasted with a 24pc drop in demand in the European market.The 8pc rise in the Americas’ lube demand in December from year-earlier levels compared with an 11pc fall in European lube demand.Lube demand in the Americas fell from November because of a 3pc drop in US consumption..US’ Dec base oils/lube demand falls.Lube demand in Latin America was steady in December from the previous month and rose by 11pc from year-earlier levels..Mexico’s December lube demand rises.Economic growth in those markets was forecast to slow in 2023 from last year. The growth rate was still expected to outpace Europe.The firmer fundamentals raised the prospect of sustaining opportunities to move arbitrage base oils shipments from Europe to Latin America over the coming year.The Americas lube consumption of 7.54mn t in 2022 rose by 7pc from 7.07mn t the previous year. The increase contrasted with a 4pc fall in Europe’s lube demand in 2022..Brazil’s January lube demand rebounds
Lubricating oil consumption in the Americas region held firm in December even in the face of slowing economic growth and a seasonal slowdown in demand.The steady consumption contrasted with an unusually steep slump in lube demand in Europe at year-end and slower demand in other regions like southeast Asia..Europe’s December lube demand falls.The contrasting trends left supply-demand fundamentals more balanced in Latin America especially. The more balanced fundamentals are likely to support steady demand for base oils.The slump in lube demand in Europe by contrast slashed demand for base oils. The lower demand compounded the impact of surplus supplies in the region as buyers held off replenishing stocks.The subsequent pressure on European base oils prices pushed them down to levels that made feasible the arbitrage to move surplus base oils supplies to Latin America.More such shipments were lined up in recent weeks to move to Latin America.Total lube consumption in December came to almost 596,000t in the US, Mexico, Brazil and Argentina combined, government and industry data showed..The 3pc fall in demand from November contrasted with a 24pc drop in demand in the European market.The 8pc rise in the Americas’ lube demand in December from year-earlier levels compared with an 11pc fall in European lube demand.Lube demand in the Americas fell from November because of a 3pc drop in US consumption..US’ Dec base oils/lube demand falls.Lube demand in Latin America was steady in December from the previous month and rose by 11pc from year-earlier levels..Mexico’s December lube demand rises.Economic growth in those markets was forecast to slow in 2023 from last year. The growth rate was still expected to outpace Europe.The firmer fundamentals raised the prospect of sustaining opportunities to move arbitrage base oils shipments from Europe to Latin America over the coming year.The Americas lube consumption of 7.54mn t in 2022 rose by 7pc from 7.07mn t the previous year. The increase contrasted with a 4pc fall in Europe’s lube demand in 2022..Brazil’s January lube demand rebounds
