Mexico’s lube demand held firm in April, supporting signs of a steady recovery in the country’s economic and industrial activity.

Lube consumption of 57,400 kilolitres (50,850t) in April rose by 13pc from the same month a year earlier, according to Mexican chemical industry association ANIQ.

Total consumption of 225,860kl in the first four months of the year was up 14pc from the same period last year.

The sustained rise in lube demand coincided with strong lube consumption in the US and a recovery in demand in Brazil and Argentina.

The rise in Mexico’s lube demand also mirrored a recovery in the country’s automobile sales and a pick-up in industrial activity.

Auto sales and production rose in June for a second month. Sales had previously fallen for eight straight months to April.

Mexico’s industrial production rose in May at its fastest pace in four months. The country’s purchasing managers’ index rose in June for a second month and at its fastest pace since early 2019.

Stronger lube demand triggered a subsequent rise in Mexico’s lube output and a steady increase in lube production run rates. These rose in April to a ten-month high of 81.6pc of installed capacity.

Mexico is almost wholly reliant on overseas base oil supplies to cover its lubricant feedstock requirements.