Brazil’s base oils imports rebounded to a ten-month high in September on the back of a recovery in shipments from the US..Brazil’s base oils supply lagged demand in August partly because of lower imports from the US that month.The supply-shortfall likely shrank or reversed in September following the subsequent pick-up in imports.More balanced supply-demand fundamentals would help to cushion against any domestic base oils production issues in October..The lack of a large supply-build heading into the fourth quarter would also leave buyers well positioned to take advantage of any rise in surplus supplies from the US at year-end. Brazil’s total base oils imports of more than 66,000 tonnes in September rose from less than 34,000 tonnes the previous month, government data showed..The August volume was the lowest since February and followed a slowdown in US exports to Brazil in June and July.The slowdown in exports coincided with stronger domestic demand in the US in the three months to July. The stronger demand cut its availability of and urgency to move more supplies to overseas markets like Latin America.The jump in Brazil’s base oils imports in September followed a subsequent rebound in US shipments bound for the South American country in August.The volume of Brazil-bound cargoes from the US then showed signs of slowing in September before reviving again so far in October..Brazil’s August base oils supply lags demand.US’ July base oils exports fall.Latin America’s July lube demand rises.Base Oil News stories and analysis also available on ICIS platform
