Argentina’s lube demand fell at a slower pace for a second month in December, adding to signs the country’s economic slowdown is bottoming out.A recovery in economic activity would raise the prospect of a pick-up in the country’s domestic lube consumption.Any such recovery in domestic lube consumption would follow a recent surge in overseas demand for Argentina’s Group I base oils.A recovery in domestic consumption could cut surplus base oils supply, limiting such flows.A recovery in demand could conversely have a more muted impact on those flows if domestic buyers sought more supplies of premium-grade base oils.The country is reliant on overseas markets for premium-grade base oils supplies.Argentina’s domestic lube consumption of 17,400 cubic meters (15,400 tonnes) in December fell by 7% from year-earlier levels, government data showed.The contraction left Argentina’s total lube consumption of 220,500 cubic meters in 2024 down 13% from 254,000 cubic meters the previous year.The slowdown in December was the fourteenth in a row and speeded up from a 5% contraction in November.But the pace of the contraction was down from typical levels of well over 10% in the ten months to October.The decelerating fall in lube demand added to other signs of improving economic activity.The country’s economic activity index rose in November from year-earlier levels for the first time in six months.The trend showed signs of continuing.Argentina's automobile sales surged during the last two months of the year, while the country’s consumer confidence rose in January to its highest in more than a year.The more muted drop in domestic lube consumption contrasted with an ongoing surge in overseas demand for the country’s base oils.Argentina’s base oils exports of close to 5,800 cubic meters in December followed shipments of more than 2,900 cubic meters in each of the previous two months.The export volumes were the largest in at least a decade and contrasted with a pause in such shipments during the previous two years to September.The rise in exports added to an unusual pick-up in such shipments from other markets like Turkey and coincided with tightening availability of Group I base oils in the global market..Latin America Nov lube demand holds steady.Brazil’s December lube demand rises.Argentina’s Nov base oils supply lags demand
Argentina’s lube demand fell at a slower pace for a second month in December, adding to signs the country’s economic slowdown is bottoming out.A recovery in economic activity would raise the prospect of a pick-up in the country’s domestic lube consumption.Any such recovery in domestic lube consumption would follow a recent surge in overseas demand for Argentina’s Group I base oils.A recovery in domestic consumption could cut surplus base oils supply, limiting such flows.A recovery in demand could conversely have a more muted impact on those flows if domestic buyers sought more supplies of premium-grade base oils.The country is reliant on overseas markets for premium-grade base oils supplies.Argentina’s domestic lube consumption of 17,400 cubic meters (15,400 tonnes) in December fell by 7% from year-earlier levels, government data showed.The contraction left Argentina’s total lube consumption of 220,500 cubic meters in 2024 down 13% from 254,000 cubic meters the previous year.The slowdown in December was the fourteenth in a row and speeded up from a 5% contraction in November.But the pace of the contraction was down from typical levels of well over 10% in the ten months to October.The decelerating fall in lube demand added to other signs of improving economic activity.The country’s economic activity index rose in November from year-earlier levels for the first time in six months.The trend showed signs of continuing.Argentina's automobile sales surged during the last two months of the year, while the country’s consumer confidence rose in January to its highest in more than a year.The more muted drop in domestic lube consumption contrasted with an ongoing surge in overseas demand for the country’s base oils.Argentina’s base oils exports of close to 5,800 cubic meters in December followed shipments of more than 2,900 cubic meters in each of the previous two months.The export volumes were the largest in at least a decade and contrasted with a pause in such shipments during the previous two years to September.The rise in exports added to an unusual pick-up in such shipments from other markets like Turkey and coincided with tightening availability of Group I base oils in the global market..Latin America Nov lube demand holds steady.Brazil’s December lube demand rises.Argentina’s Nov base oils supply lags demand
