US base oils and lube exports rose to a four-month high in February amid a pick-up in shipments to markets like India and Israel.The rise in exports to those markets supplemented still-high volumes to the key outlets of Mexico and Africa.Total base oils and lube exports of more than 4.0 million barrels (567,000 tonnes) in February rose from more than 3.75 million barrels in each of the previous three months, government data showed..Exports exceeded the 4-million-barrel/month level for the sixth time since November 2023.Before that month, US shipments had exceeded that level just two times since the beginning of 2019.The trend highlighted the surge in US base oils and lube exports over the past two years especially in the face of dwindling domestic consumption. The rise in exports in February mirrored a similar surge in US shipments in March 2024.Those shipments helped to clear an overhang of surplus supplies and coincided with the start of a rebound in US base oils export prices.A seasonal pick-up in domestic demand provided further support.That dynamic failed to repeat itself this year.US base oils export prices stayed weak relative to prices in markets like India in March and early-April.The lack of any significant price-response this year suggested that the US market continued to face pressure from surplus supplies even with the pick-up in exports and a round of plant maintenance work.An ongoing supply-surplus pointed to weaker-than-usual domestic demand even before this month’s imposition of US tariffs on most of the country’s imports and a subsequent slump in crude oil prices.The dynamic raised the prospect of US base oils exports staying at more elevated levels and of export prices staying at levels that facilitated those moves.The destination of a large portion of the February shipments also suggested that the removal rather than the price of the supplies was the key priority.Base oils and lube exports of more than 155,000 barrels to India in February were the highest since mid-2023.Exports of more than 330,000 barrels to Israel in February were the highest since early-2023 and up from typical volumes of less than 2,000 barrels/month. .US’ January base oils supply rises.India’s March lube demand rises
US base oils and lube exports rose to a four-month high in February amid a pick-up in shipments to markets like India and Israel.The rise in exports to those markets supplemented still-high volumes to the key outlets of Mexico and Africa.Total base oils and lube exports of more than 4.0 million barrels (567,000 tonnes) in February rose from more than 3.75 million barrels in each of the previous three months, government data showed..Exports exceeded the 4-million-barrel/month level for the sixth time since November 2023.Before that month, US shipments had exceeded that level just two times since the beginning of 2019.The trend highlighted the surge in US base oils and lube exports over the past two years especially in the face of dwindling domestic consumption. The rise in exports in February mirrored a similar surge in US shipments in March 2024.Those shipments helped to clear an overhang of surplus supplies and coincided with the start of a rebound in US base oils export prices.A seasonal pick-up in domestic demand provided further support.That dynamic failed to repeat itself this year.US base oils export prices stayed weak relative to prices in markets like India in March and early-April.The lack of any significant price-response this year suggested that the US market continued to face pressure from surplus supplies even with the pick-up in exports and a round of plant maintenance work.An ongoing supply-surplus pointed to weaker-than-usual domestic demand even before this month’s imposition of US tariffs on most of the country’s imports and a subsequent slump in crude oil prices.The dynamic raised the prospect of US base oils exports staying at more elevated levels and of export prices staying at levels that facilitated those moves.The destination of a large portion of the February shipments also suggested that the removal rather than the price of the supplies was the key priority.Base oils and lube exports of more than 155,000 barrels to India in February were the highest since mid-2023.Exports of more than 330,000 barrels to Israel in February were the highest since early-2023 and up from typical volumes of less than 2,000 barrels/month. .US’ January base oils supply rises.India’s March lube demand rises
