Latin America’s lube demand is likely to hold firm in the second quarter of the year, when consumption typically also gets a seasonal boost in other markets like US and Europe.The prospect of firmer lube consumption in Latin America and in other regions would boost requirements for base oils supplies to meet the pick-up in demand.Such a trend would help to reduce some of the persistent surplus of base oils supplies in the US in recent months.Such a trend could also incentivize regional and overseas refiners to boost base oils output, curbing the impact of a rise in demand.Firmer demand in the Americas would also contrast with the prospect of a slowdown in lube consumption in Asia during the second quarter of the year.The contrasting demand dynamics could in turn trigger an adjustment in trade flows between the two regions.Latin America’s lube demand is likely to rise to more than 530,000 tonnes in the second quarter of the year, according to the Baseoilnews short-term outlook.The volume would be up from less than 510,000 tonnes during the first three months of the year and from less than 530,000 tonnes during the same period last year.Lube demand showed signs of lagging expectations in the first quarter of the year amid slowing consumption in markets like Argentina and Mexico.Lower demand early this year compounded the pressure on US refiners with surplus base oils supplies to clear.Firmer consumption in the second quarter of the year would help to ease that pressure..Latam January lube demand holds firm
Latin America’s lube demand is likely to hold firm in the second quarter of the year, when consumption typically also gets a seasonal boost in other markets like US and Europe.The prospect of firmer lube consumption in Latin America and in other regions would boost requirements for base oils supplies to meet the pick-up in demand.Such a trend would help to reduce some of the persistent surplus of base oils supplies in the US in recent months.Such a trend could also incentivize regional and overseas refiners to boost base oils output, curbing the impact of a rise in demand.Firmer demand in the Americas would also contrast with the prospect of a slowdown in lube consumption in Asia during the second quarter of the year.The contrasting demand dynamics could in turn trigger an adjustment in trade flows between the two regions.Latin America’s lube demand is likely to rise to more than 530,000 tonnes in the second quarter of the year, according to the Baseoilnews short-term outlook.The volume would be up from less than 510,000 tonnes during the first three months of the year and from less than 530,000 tonnes during the same period last year.Lube demand showed signs of lagging expectations in the first quarter of the year amid slowing consumption in markets like Argentina and Mexico.Lower demand early this year compounded the pressure on US refiners with surplus base oils supplies to clear.Firmer consumption in the second quarter of the year would help to ease that pressure..Latam January lube demand holds firm
