Lube demand in Latin America was relatively steady in February at a time of year when consumption typically falls in other markets like the US and Europe.The steady consumption coincided with lower base oils output in the region in February.Steady demand and lower base oils output boosted the attraction for US refiners especially to target the region with more supplies.Competitive US base oils export prices and plentiful surplus supplies added to the attraction.But the focus of those shipments was more on Mexico rather than other key outlets like Brazil and Argentina.Latin America’s lube consumption of around 161,000 tonnes in February was almost the same as the previous month, government and industry data showed.Consumption still fell by 5% in February from year-earlier levels as an ongoing slide in demand in markets like Mexico and Argentina outweighed firmer consumption in Brazil.Steady demand in February from the previous month contrasted with a drop in base oils output in Brazil and Argentina during the same period.The trend lifted the region’s surplus of demand over supply from a more-than-three-year low the previous month.Steady demand and lower regional supply contrasted with signs of a seasonal fall in US consumption during the same two-month period.US base oils and lube consumption fell by more than 13% in February from January in each of the previous five years.A swathe of surplus US supplies for export in February and March suggested the trend repeated itself this year.Latin America was an attractive outlet for some of those supplies.US base oils shipments to Mexico duly rose to a five-month high in February.But shipments fell to Argentina and Brazil, which saw a large build-up of surplus supplies late last year and early this year.The trend pointed to more balanced supply-demand dynamics in Brazil especially by the end of the first quarter of the year..Brazil’s Feb lube demand extends rise.Mexico’s February lube demand falls
Lube demand in Latin America was relatively steady in February at a time of year when consumption typically falls in other markets like the US and Europe.The steady consumption coincided with lower base oils output in the region in February.Steady demand and lower base oils output boosted the attraction for US refiners especially to target the region with more supplies.Competitive US base oils export prices and plentiful surplus supplies added to the attraction.But the focus of those shipments was more on Mexico rather than other key outlets like Brazil and Argentina.Latin America’s lube consumption of around 161,000 tonnes in February was almost the same as the previous month, government and industry data showed.Consumption still fell by 5% in February from year-earlier levels as an ongoing slide in demand in markets like Mexico and Argentina outweighed firmer consumption in Brazil.Steady demand in February from the previous month contrasted with a drop in base oils output in Brazil and Argentina during the same period.The trend lifted the region’s surplus of demand over supply from a more-than-three-year low the previous month.Steady demand and lower regional supply contrasted with signs of a seasonal fall in US consumption during the same two-month period.US base oils and lube consumption fell by more than 13% in February from January in each of the previous five years.A swathe of surplus US supplies for export in February and March suggested the trend repeated itself this year.Latin America was an attractive outlet for some of those supplies.US base oils shipments to Mexico duly rose to a five-month high in February.But shipments fell to Argentina and Brazil, which saw a large build-up of surplus supplies late last year and early this year.The trend pointed to more balanced supply-demand dynamics in Brazil especially by the end of the first quarter of the year..Brazil’s Feb lube demand extends rise.Mexico’s February lube demand falls
