Peru’s March base oil/lube imports rise

Peru’s imports of base oils and lubricants rose in March to an 11-month high on the back of firm industrial production growth and rising auto sales.

Base oils and lube imports of 13,060 kilolitres (11,570t) in March rose from 9,900kl the previous month and by 45pc from year-earlier levels, provisional customs data showed.

The March volume was the highest since April 2021, when economic growth was rebounding following the pandemic-induced slump the previous year.

Base oils accounted for more than 80pc of the March volume.

Imports of 29,430kl in the first three months of the year rose by 20pc from the fourth quarter of last year. But they dipped by 11pc from 32,990kl during the same period year.

The slowdown in imports has coincided with expectations of a slower pace of economic growth this year compared with last year. Rising inflation and slower global growth are expected to curb Peru’s economic growth even further.

Any slowdown in activity would follow a pick-up in the country’s industrial production growth in February and March. Peru’s automobile sales also extended their rise in April for a 14^th straight month.

The country’s base oil imports in March included an unusually large volume of supplies from South Korea.

Buyers in Latin America have shown growing interest in base oil supplies from Asia-Pacific in view of their lower price relative to supplies from the US.