Brazil’s lube demand rose for a second month in February, adding to signs of a pick-up in economic growth in the country.Rising lube consumption raised the prospect of clearing faster the country’s large build-up of base oils supplies at the end of last year and early this year.Demand for overseas base oils supplies is still likely to remain lower than during the second half of last year, when plant maintenance work cut domestic output.Domestic base oils output then recovered from the end of last year.A slowdown in Brazil’s base oils import requirements would put pressure on US refiners to redirect more supplies to other markets instead.The US is the largest source of Brazil's overseas base oils supplies.Brazil’s lube consumption of 90,700 cubic meter (cbm) (80,300 tonnes) in February rose by 10% from year-earlier levels, according to IBP.The pace of the increase sped up from a 4% rise in demand in January.Consumption of passenger-car motor oils (PCMO) had been the key driver supporting Brazil’s rising lube demand through most of last year.Consumption of the engine oil held strong in February, with demand up 11%.The strong rise in demand also extended to heavy-duty engine oils and industrial oils.Consumption of both types of lubricants rose by more than 10% in February. The pace of the increase was the fastest in six months.Firmer demand for both industrial and automobile lubricants coincided with a rise in Brazil’s automobile production in February for the first time in five months.Firmer auto production in turn followed a rise in Brazil’s industrial production growth in January from year-earlier levels to its highest in more than two years.ICONIC Lubricants was Brazil’s largest lube supplier in February, Moove the second largest and Vibra Energia the third largest..Latam January lube demand holds firm.Brazil’s January base oils supply rises
Brazil’s lube demand rose for a second month in February, adding to signs of a pick-up in economic growth in the country.Rising lube consumption raised the prospect of clearing faster the country’s large build-up of base oils supplies at the end of last year and early this year.Demand for overseas base oils supplies is still likely to remain lower than during the second half of last year, when plant maintenance work cut domestic output.Domestic base oils output then recovered from the end of last year.A slowdown in Brazil’s base oils import requirements would put pressure on US refiners to redirect more supplies to other markets instead.The US is the largest source of Brazil's overseas base oils supplies.Brazil’s lube consumption of 90,700 cubic meter (cbm) (80,300 tonnes) in February rose by 10% from year-earlier levels, according to IBP.The pace of the increase sped up from a 4% rise in demand in January.Consumption of passenger-car motor oils (PCMO) had been the key driver supporting Brazil’s rising lube demand through most of last year.Consumption of the engine oil held strong in February, with demand up 11%.The strong rise in demand also extended to heavy-duty engine oils and industrial oils.Consumption of both types of lubricants rose by more than 10% in February. The pace of the increase was the fastest in six months.Firmer demand for both industrial and automobile lubricants coincided with a rise in Brazil’s automobile production in February for the first time in five months.Firmer auto production in turn followed a rise in Brazil’s industrial production growth in January from year-earlier levels to its highest in more than two years.ICONIC Lubricants was Brazil’s largest lube supplier in February, Moove the second largest and Vibra Energia the third largest..Latam January lube demand holds firm.Brazil’s January base oils supply rises
